Dongfeng Electronic Technology Co.,Ltd. (SHSE:600081) signed the absorption merger intent agreement to acquire Dongfeng Motor Parts & Components (Group) Co., Ltd. from Dongfeng Motor Co., Ltd and Shenzhen Dongfeng South Industrial Group Co., Ltd. for CNY 5.2 billion on January 18, 2019. Under the terms, the consideration will be paid through Dongfeng Electronic Technology shares issuance. As per the update on January 31, 2019, Dongfeng Electronic will issue 694.9 million shares as consideration. Dongfeng Motor will receive 694.2 million shares and Shenzhen Dongfeng will receive 0.69 million shares. Dongfeng Electronic Technology Co.,Ltd. signed the absorption merger intent agreement to acquire Dongfeng Motor Parts & Components (Group) Co., Ltd. from Dongfeng Motor Co., Ltd and Shenzhen Dongfeng South Industrial Group Co., Ltd. for CNY 8.4 billion on May 31, 2019. As of May 31, 2019, Dongfeng Electronic Technology Co.,Ltd will issue 704.78 million shares as consideration. Dongfeng Electronic Technology Co.,Ltd will issue 704.08 million shares to Dongfeng Motor Co., Ltd. and 0.7 million shares to Shenzhen Dongfeng South Industrial Group Co., Ltd. As of June 29, 2019, Dongfeng Electronic Technology Co.,Ltd will issue 719.76 million shares as consideration. Dongfeng Electronic Technology Co.,Ltd will issue 719.03 million shares to Dongfeng Motor Co., Ltd. and 0.7 million shares to Shenzhen Dongfeng South Industrial Group Co., Ltd. After the completion of the absorption merger, Dongfeng Electronic Technology will remain and will inherit and undertake all assets, liabilities, business, personnel, contracts and all other rights and obligations of Dongfeng Motor Parts & Components (Group) Co., Ltd. The transaction is subject to state-owned asset management department approval, approval of shareholders of Dongfeng Motor Parts & Components (Group) Co., Ltd. and Dongfeng Electronic Technology Co.,Ltd, after the completion of the audit and evaluation of the underlying assets involved in the reorganization, Dongfeng Electronic will once again convene a board meeting to consider and pass the relevant resolutions of the reorganization. The China Securities Regulatory Commission needs to approve the present major asset restructuring. The transaction has received an approval from internal decision-making procedures from Dongfeng Motor Co., Ltd and Shenzhen Dongfeng South Industrial Group Co., Ltd. The Board of Directors of Dongfeng Motor Parts & Components (Group) Co., Ltd convened the board of directors meeting and agreed in principle for the transaction. The Board of Directors of Dongfeng Electronic approved the transaction. The Board of Directors of Dongfeng Electronic approved the revised draft on May 31, 2019. As of June 28, 2019, the shareholders of Dongfeng Electronic Technology Co.,Ltd. approved the transaction. Morgan Stanley Huaxin Securities Company Limited and Huatai United Securities Co., Ltd. acted as financial advisors to Dongfeng Electronic Technology Co.,Ltd. Dongfeng Electronic Technology Co.,Ltd. (SHSE:600081) cancelled the acquisition of Dongfeng Motor Parts & Components (Group) Co., Ltd. from Dongfeng Motor Co., Ltd and Shenzhen Dongfeng South Industrial Group Co., Ltd. on January 18, 2020.