New Focus Auto Tech Holdings Ltd. announced that it has entered into the Equity Transfer Agreement with the Vendors pursuant to which the Company agreed to acquire and the Vendors agreed to sell in aggregate 51% equity interest in Shanghai Astrace at a consideration of RMB64,260,000 (subject to adjustment), which is payable as to RMB36,757,000 by cash and as to RMB27,503,000 by the issue of Consideration Shares. The Consideration Shares will be issued under the General Mandate. An application will be made to the Stock Exchange for the listing of and permission to deal in the Consideration Shares. As the applicable percentage ratios calculated under Chapter 14 of the Listing Rules in respect of the Acquisition exceed 5% but less than 25%, the Acquisition constitutes a discloseable transaction for the Company under Chapter 14 of the Listing Rules. The completion of the Acquisition is subject to industry and commerce registration in relation to the transfer of the Equity Interest from the Vendors to the Company. The Vendors shall coordinate with Shanghai Astrace to update the register of shareholders of Shanghai Astrace and to apply for and complete the said industry and commence registration, which is expected to take place on or before June 30, 2011. Upon completion of the Acquisition, Shanghai Astrace will become a subsidiary of the Company.