Cai Zhencheng signed an agreement to acquire 17.78% stake in Chaozhou Guangzhantong Porcelain Co., Ltd. from Guang Dong Sitong Group Co.,Ltd (SHSE:603838) for CNY 13.6 million on September 2, 2019. Payment will be done in one single installment within 30 days since signing of the agreement. Chaozhou Guangzhantong Porcelain Co., Ltd. reported total assets of CNY 75.91 million and net assets of CNY 75.01 million as at December 31, 2018. Chaozhou Guangzhantong Porcelain Co., Ltd. reported operating revenues of CNY 28.16 million and net profit of CNY 3.78 million in 2018. The transaction is subject to approval from shareholders of Guang Dong Sitong Group Co.,Ltd. The Board of Directors of Guang Dong Sitong Group Co.,Ltd approved the transaction on September 2, 2019. Cai Zhencheng cancelled the acquisition of 17.78% stake in Chaozhou Guangzhantong Porcelain Co., Ltd. from Guang Dong Sitong Group Co.,Ltd (SHSE:603838) on September 2, 2020.