Jiaxin Silk (002404): Shareholders, Kay Heya International Intends To Transfer 16.01% Of The Shares To Kaxa Investment.

Jiaxin silk (002404.SZ) announced that in December 30, 2019, Zhejiang's Kai Seya international Limited by Share Ltd ("kayseya international") and its wholly owned subsidiary, Zhejiang Cathy Asia Investment Co., Ltd. ("Cathy Asia Investment") signed the capital increase agreement on Zhejiang Cathy Asia Investment Limited ("capital increase agreement") in December 30, 2019. The international investment company of kayseya intends to transfer the price contribution agreement of non cash contribution to Cathy's investment by holding about 92 million 490 thousand and 100 shares of the company's unlimited sale of tradable shares (16.01% of the total share capital of the company).

After the change of interest, Cathy investment will hold about 92 million 490 thousand and 100 shares of the company (accounting for 16.01% of the total share capital), and Cathy international will no longer directly share Holding Company shares, but indirectly hold the corresponding share rights and interests of the company through the investment of Cathy.

Cathy international decided to invest 60% of its holdings of the company (corresponding to the registered capital of 7 million 200 thousand yuan for the company) and 16.01% of the listed company (corresponding to about 92 million 490 thousand and 100 shares of the listed company). The new registered capital was invested RMB 550 million yuan.

The evaluation report (Kun yuan commentary [2019]657) on the valuation value of the 60% shares of the company and the valuation value of the 16.01% assets of the listed company in the Zhejiang kasheya international Limited by Share Ltd intends to transfer the value of the single asset valuation project (Kun yuan commentary [2019]663). Combined with the closing price of the two market shares of the company on the day before the signing of the "capital increase agreement", kasheya international has a price of 60% yuan for the company's 60% shares, and the price of 16.01% shares of the listed company is priced at about 549 million yuan. The total price of the company is about 649 million yuan. The total registered capital of the company is RMB 550 million yuan. Based on Kun yuan asset appraisal Co., Ltd., entitled "all interest value assessment project assets of the Zhejiang Zhejiang Silk Company Limited", which is transferred by the Zhejiang Cathy International Limited company.

In the capital increase, the transfer price of 16.01% of the shares of the listed company invested by Kay Seya international investment company is RMB 549 million yuan, which is 90% of the two class market closing price (6.60 yuan / share) of the listed company's shares on the previous trading day of the signing of the capital increase agreement (December 27, 2019), or 5.94 yuan per share, multiplied by about 92 million 490 thousand and 100 shares of the listed company held by Cathy International Holdings. The transfer price is in line with the relevant provisions of the Shenzhen Stock Exchange on the transfer of the share agreement of the listed company.