January 11^th 2016, SHANDONG FIN CNC MACHINE CO., LTD had 19^th board meeting, in view of《Major asset restructuring and related party transactions Report of SHANDONG FIN CNC MACHINE CO., LTD issue A stock to purchasing asset and raising fund》,  mentioned the fund raising project is applied for construction project of extra high voltage DC tap changer production base and  research and development center. The subject of implementation is Shanghai Huaming Power Equipment Co., Ltd (hereinafter “Shanghai Huaming”)

 

To improve the efficiency of project operations, reduce the tax liability of company, SHANDONG FIN CNC MACHINE CO., LTD approved that to raise RMB250,000,000 to Shanghai Huaming according to the project development. Board of directors require that Shanghai Huaming deposit this money to fund raising account through financial institution and use the money according to the procedure of 《Fund Raising System of Management》. Shanghai Huaming, the bank of fund raising account, Guotai Junan Securities Co., Ltd, and Hengtai Changcai Securities Co., LTD will sign 《Four Parties Fund Raising Supervision Agreement》one month after the fund raising.