Fangda Carbon New Material Co., Ltd. (SHSE:600516) agreed to acquire Fangtai Sophisticated Carbon Material Co., Ltd. from Liaoning Fangda Group Industrial Co., Ltd. and Beijing Fangda International Industrial Investment Co., Ltd. for approximately CNY 230 million on January 29, 2013. Fangda Carbon New will acquire 99.17% stake from Liaoning Fangda Group Industrial Co., Ltd. for CNY 231.33 million and a 0.83% stake from Beijing Fangda International Industrial Investment for CNY 1.9 million. Fangtai Sophisticated Carbon Material reported total assets of CNY 613.59 million, total liabilities of CNY 451.41 million, owners' equity of CNY 162.18 million, revenues of CNY 0 million and net loss of CNY 7.31 million for the year ending December 31, 2012.

The deal is subject to approval by the shareholders of FangDa Carbon at a meeting to be held on February 20, 2013. The Directorate of FangDa Carbon approved the transaction. As on February 20, 2013, the transaction was approved by the shareholders of Fangda Carbon New Material.