Consumer Capital Group Inc. (OTCPK:CCGN) entered into a share exchange agreement to acquire 51% of Shanghai Zhong Hui Financial Information Services Corp. (Zhong Hui) for $2 million on December 23, 2014. Pursuant to the term of the agreement, Consumer Capital agreed to issue 5 million shares of common stock to certain individuals affiliated with Zhong Hui to exchange 51% of the capital stock of Zhong Hui. As incentive for the closing of the acquisition, Consumer Capital also agreed to issue to the affiliates 5 million additional shares of the common stock, and three-year warrants purchasing up to 5.8 million shares of common stock at an exercise price of $2 per share, respectively. Pursuant to the agreement, Consumer Capital agreed to issue the 10 million shares of common stock and 5.8 million shares of common stock underlying the warrants within twenty-five business days upon completion of audit of Zhong Hui.

In a related deal, Consumer Capital makes private placement of 15.8 million common shares to the original stockholders and management of Zhong Hui. The shareholders and the operation management team of Zhong Hui, on fully diluted basis, own 45.31% of the total share capital of Consumer Capital. In addition, the Board of Directors of Zhong Hui agreed to nominate certain officers of Consumer Capital as new members of the Zhong Hui Board, subject to shareholder approval. Li Hanzhen will be appointed as the Chairman of the Board of Directors of Zhong Hui.

Consumer Capital Group Inc. (OTCPK:CCGN) completed the acquisition of 51% stake in Shanghai Zhong Hui Financial Information Services Corp. on July 2, 2015.