DISCLOSEABLE TRANSACTION CAPITAL INJECTION INTO AND PROVISION OF FINANCIAL ASSISTANCE TO TARGET COMPANY
The Board is pleased to announce that on 11 September 2015, the Company, Wuhan Guanggu Creative Industry Base Construction and Investment Co., Ltd., Shanghai KnoWing Investment Co., Ltd., Wuhan Jielong Investment Co., Ltd and the Wuhan Guanggu Creative and Cultural Technology Park Co., Ltd. (Target Company) entered into the Framework Agreement. Pursuant to the Framework Agreement, the Company will make a capital injection of RMB20.816 million into the Target Company after the approval is granted by the State-owned Assets Supervision and Administration Commission of Beijing Municipal People’s Government. Upon the capital increase, the Company will become a controlling shareholder of the Target Company with an equity interest of 51% therein. Upon completion of the capital injection, the Company will provide a loan of no less than RMB400 million to the Target Company at an annual composite interest rate of no more than 10.5%.