Christine International Holdings Limited entered into the equity transfer agreement Hangzhou Jiada Glasses Manufacturing Co., Ltd. from Leong Chan and Su Yi Jiag for CNY 92.9 million.
For the year ended December 31, 2011, net loss before taxation of Hangzhou Jiada Glasses was CNY 0.8 million. As of October 31, 2012, current assets of Hangzhou Jiada were CNY 50 million. For ten months ending October 31, 2012 net loss before taxation of Hangzhou Jiada Glasses was CNY 0.12 million. The Directors of Christine International Holdings believe that the terms of agreement are fair and reasonable and deal is in the interests of Christine International Holdings and the shareholders thereof as a whole. The deal can be terminated by mutual agreement between the parties or, in the case agreement cannot be completed as a result of the default by one party. Leong Chan and Su Yi Jiag shall refund all the consideration (including the refundable deposit) paid by Christine International with interest to Christine International within three working days in case of termination.