Zhidao International (Holdings) Limited (SEHK:1220) entered into an agreement to acquire remaining 48.2% stake in iTong Engineering Company Limited for HKD 29 million (MOP 29.9 million) on November 26, 2019. Under the agreement, Zhidao International (Holdings) Limited shall pay HKD 11 million (MOP 11.33 million) on completion and remaining balance shall payable upon achieving guaranteed profit. The transaction will be funded through internal resources, bank or other borrowings. Post completion, iTong Engineering Company Limited will become wholly owned subsidiary of Zhidao International (Holdings) Limited. For the period ended March 31, 2019, iTong Engineering Company Limited has reported total assets of MOP 98.9 million, total liabilities of MOP 109.65 million, negative net assets of MOP 10.75 million, and net loss before and after tax of MOP 10.32 million. The Directors of Zhidao International (Holdings) Limited consider that the consideration and the terms and conditions of the transaction are fair and reasonable. The transaction is subject to certain conditions including all the required approvals, authorizations, consents having been obtained from and all the required registrations and filing having been completed with (if applicable) the governmental authorities or regulatory bodies or any relevant third party in connection with the transactions, Zhidao International (Holdings) Limited has obtained confirmation from seller that having made all due diligent and careful inquiry as at completion, provision of true warranties and no material adverse change in business, operations or assets of iTong Engineering Company Limited. Completion shall take place on fifth business day after all the conditions have been satisfied. Zhidao International (Holdings) Limited (SEHK:1220) completed the acquisition of remaining 48.2% stake in iTong Engineering Company Limited on February 19, 2020.