Haili Metal Bulletin, the company intends to increase their investment by way of acquisition of Ningbo Taihe Hong Electrical Company, engaged in the automotive stamping parts, auto stamping parts assembly and other automotive parts business. Notice that the transaction using the raised funds to be invested 52,608,900 yuan, accounting for Ningbo Taihe hung 65% of registered capital. The company expects the acquisition is completed, additional profits for the company 10 million yuan, the company's 2010 net profit of about 10.7%.

     June 29, shareholders of the Company and Ningbo Taihe two sides Zhejiang Jiangtai Hong Hong Electrical Company and is only legal representative should be signed "on the Mechanical and Electrical Co., Ltd. Ningbo Taihe Hong acquisition agreement," the parties agreed to the transferee by the Zhejiang Jiang Taihong Ningbo Taihe Hong original shareholders are only holding 10% stake in Ningbo Taihe hung, and with the company to increase their investment by way of capital increase of Ningbo Taihe David. Increase the total price of 60.0768 million yuan, capital increase is completed, the registered capital of Ningbo Taihe hung from 2000 million to $ 77.6 million yuan, of which the company intends to use the raised funds invested 52,608,900 yuan, accounting for Ningbo Taihe hung 65% of the registered capital; Zhejiang Taihong invested 7,467,900 yuan, accounting for Ningbo Taihe Hung registered capital of 35%.
     Ningbo Taihe Hongcheng Li on October 10, 2009, operates in the generator, auto parts, motorcycle parts manufacturing, wholesale, retail, and all kinds of goods and technology import and export business. In the first quarter, the company's total assets amounted to 63.39 million yuan, sales income of 9.8 million, net profit of -26.88 million.

     According to the "Acquisition Agreement", Ningbo Taihe Hong original shareholders of the company's 2011 commitment not less than 10 million annual net profit, net profit of not less than the year 2012 13 million 2013 net profit of not less than 17 million yuan. But Haili Metal that there is no single Ningbo Taihe customers rely on David, if not effectively develop new customers, the uncertainty will exist for future development; In addition, the current car market downturn would increase the company's revenue and profit levels have some impact.