TU-TESL

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On October 11, Dongfang Seiko received a letter of concern from Shenzhen Stock Exchange. According to the announcement, Shenzhen Stock Exchange asked Dongfang Seiko to explain the reasons and rationality of selling Beijing Prade new energy battery technology Co., Ltd. within the performance commitment period, and whether the interests of listed companies were harmed. On October 9, Dongfang Seiko announced that the company had signed memorandum and confidentiality and exemption agreement with Peking University Pioneer Technology Industry Co., Ltd., automobile and Beijing Prade new energy battery technology Co., Ltd. (hereinafter referred to as "") and other parties on September 30. Dongfang Seiko will sell all shares of Prade, and 4 original shareholders and Prade must cooperate to complete the delivery, but with One of the original shareholders is still under negotiation. Dongfang Seiko said that if Ningde times finally chooses not to join in the "package" solution of signing the memorandum and accepting relevant matters, the company and Ningde times need to negotiate separately or continue to solve the disputes related to the fulfillment of the performance commitment and profit compensation of 2018 of Prade through judicial procedures. In 2016, Dongfang Seiko acquired 100% equity of Prade from five shareholders, namely, Peking University pioneer, Ningde times, BAIC industrial investment, Futian Automobile and Qinghai Puren intelligent technology research and development center, with 4.75 billion yuan. At that time, the five shareholders promised that the net profit of Prade in 2016, 2017, 2018 and 2019 would not be less than RMB 1498 million, including not less than RMB 250 million in 2016, not less than RMB 325 million in 2017, not less than RMB 423 million in 2018 and not less than RMB 500 million in 2019, or performance compensation would be made in cash. This year, Dongfang Seiko and the original five major shareholders have repeatedly sparked disputes over the profit and "compensation" of Prade in 2018. According to the 2018 annual report issued by Dongfang Seiko, Prade lost 219 million yuan, and Prade and other companies believed that the annual report issued by Dongfang Seiko was wrong, which led to disputes between the two parties. Until the announcement of Oriental Seiko on October 9, it seems that the two sides are expected to reach a settlement.