The board of directors of Lisi Group (Holdings) Limited announced that it expected to record a significant loss for the year ended 31 March 2017 as compared to the same period for the last year. The expected significant loss of the Group was mainly attributable to the impairment loss on goodwill of approximately RMB 693.4 million for the acquisition of Mega Convention Group Limited completed on 7 February 2017. Such impairment loss is an accounting treatment (in compliance with the current accounting standard) on the part of goodwill resulted essentially from the difference between the share price at HKD 0.3712 per share agreed for the issuance of consideration shares for the car business project and the market share price at HKD 0.68 per share upon completion of the acquisition on 7 February 2017.