Sichuan New Energy Power Company Limited (SZSE:000155) agreed to acquire a 20% stake in Sichuan Energy Wind Power Development Co., Ltd from Dongfang Electric Corporation Limited (SEHK:1072) for CNY 1.7 billion on May 31, 2022. Under the terms, Sichuan New Energy Power Company will issue 87.16 million shares as part of transaction. The transaction is approved by board of directors of Sichuan New Energy Power Company Limited.

The transaction is subject to Sichuan New Energy Power Company Limited shareholder approval. As of September 30, 2022, Sichuan Energy Wind Power Development Co., Ltd reported total assets of CNY 8.8 billion and total common equity of CNY 3.6 billion. As of June 2023, This has been approved by the internal decision-making body of Dongfang Electric, This has been approved by the Sichuan Energy Industry Investment Group, This has been approved by the State-owned Asset Supervisory and Administration Commission, Transaction is This is subject to approval by Shenzhen Stock Exchange and China Securities Regulatory Commission.

As of August 10, 2023 the Shenzhen Stock Exchange M&A and Reorganization Review Committee, having reviewed the Company?s acquisition of assets through the issuance of shares and raising of supporting funds application documents, believes that the Company meets the reorganization conditions and information disclosure requirements. As of September 6, 2023, Sichuan New Energy Power Company Limited approved the registration application for the company to issue 87,167,187 shares to Dongfang Electric. The transaction has been approved by China Securities Regulatory Commission.

CITIC Securities Company Limited acted as financial advisor, Grandway Law Offices acted as legal advisor and Pan-China Certified Public Accountants LLP acted as an accountant to Sichuan New Energy Power Company Limited.