Rianlon Corporation (SZSE:300596) signed an agreement to acquire 92.2% stake in Jinzhou Kangtai Lubricant Additives Co,Ltd. from 45 natural persons for approximately CNY 600 million on December 17, 2020. As reported, Rianlon Corporation intends to acquire a total of 70.8480% equity in Jinzhou Kangtai Lubricant Additives Co. held by 35 natural persons, including Han Qian, Yu Peigen, Han Guangjian, and Yu Hubei by issuing shares and paying cash for a tentative price of CNY 481.8 million and a total of 21.3629% equity in Jinzhou Kangtai Lubricant Additives Co. held by 10 natural persons, including Cao Jianying, Zhao Jingtao, and Zhao Jingdan, by issuing shares and paying cash for a tentative price of CNY 114.1 million. Consideration of CNY 417 million will be paid through issuing 14,872,186 shares at CNY 28.045 per share and CNY 179 million in cash. Rianlon Corporation intends to pay 30% of the transaction consideration in cash and 70% of the transaction consideration in its stocks. The cash consideration for the transaction will be financed by issuing Rianlon shares to not more than 35 specific investors to raise matching funds of not more than CNY 417 million. As per the adjustment announced on May 28, 2021, after the issuance price adjustment, the number of shares to be issued by the company in this transaction will be adjusted accordingly to 14.872 million shares. The transaction is subject to the approval of Rianlon's general meeting of shareholders, approval by the Shenzhen Stock Exchange and requires the China Securities Regulatory Commission to perform the issuance registration procedures. The proposals related to this transaction have been reviewed and approved at the 18th meeting of the third Board of Directors and 15th meeting of the third Board of supervisors of Rianlon Corporation. After the audit and evaluation of the underlying assets of this transaction is completed and the transaction price is determined, Rianlon needs to convene a Board of Directors again to review and approve the formal plan of the transaction. On March 30, 2021, Rianlon Corporation held the 20th meeting of the 3rd directorate and the 17th meeting of the 3rd supervisory board to approve the transaction and financing. On May 12, 2021, Rianlon Corporation (SZSE:300596) held the 22nd meeting of the 3rd Board of Directors and the 19th meeting of the 3rd Board of Supervisors which reviewed and approved the transaction. On May 28, 2021, Rianlon held the third extraordinary general meeting of shareholders, and the relevant matters of the transaction were reviewed and approved. As of September 22, 2021, the GEM Board M&A and Reorganization Committee has approved the transaction. The transaction is still subject to the China Securities Regulatory Commission's approval. Changjiang Financing Services Company Limited acted as independent financial advisor, Zhong Lun Law Firm acted as legal advisor and Baker Tilly China Certified Public Accountants acted as accountant to Rianlon Corporation.

Rianlon Corporation (SZSE:300596) completed the acquisition of 92.2% stake in Jinzhou Kangtai Lubricant Additives Co,Ltd. from 45 natural persons on April 22, 2022.