On June 29, 2020, XT Energy Group, Inc. through its variable interest entity, Xianning Xiangtian, entered into two equity transfer agreements with two individuals to sell one hundred percent of the equity held by Xianning Xiangtian in its subsidiary Jingshan Sanhe Xiangtian New Energy Technology Co., Ltd. (“Jingshan Sanhe”) to two separate individuals for an aggregate purchase price of Thirty Million Yuan (RMB).
Pursuant to the terms of the first equity transfer agreement, Xianning Xiangtian agreed to sell Sixty Percent (60%) of its equity interests in Jingshan Sanhe to Wang Xue for a purchase price of Eighteen Million Yuan (RMB), payable as follows: Nine Million Yuan (RMB) payable within Sixty (60) days after the execution of the equity transfer agreement, and Nine Million Yuan (RMB) payable within three months of the equity interests being transferred to the buyer. Pursuant to the terms of the second equity transfer agreement, Xianning Xiangtian agreed to sell Forty Percent (40%) of its equity interests in Jingshan Sanhe to Feng Chao for an aggregate purchase price of Twelve Million Yuan (RMB), payable as follows: Six Million Yuan (RMB) payable within Sixty (60) days after the execution of the equity transfer agreement, and Six Million Yuan (RMB) payable within three months of equity interests being transferred to the buyer.
