Shanghai Hui Yang New Energy Technology Co., a company in which Swing Media Technology Group has agreed to acquire an 80% stake last October, has been contracted to install solar-powered energy systems for 20 petrol stations in China.

Under the terms the acquisition deal, Swing Media will acquire a 80% stake in Shanghai Hui Yang for RMB 6 million ($1.23 million) provided the latter successfully secures contracts to install solar-powered energy systems of more than RMB 12,500,000 ($2.6 million or 50 petrol stations). The purchase consideration is RMB 4 million in cash and RMB 2 million in Swing Media shares.

Shanghai Hui Yang currently owns five patents (approved and registered with the State Intellectual Property Office) in relation to the installation of solar/ wind powered energy systems in petrol stations.

Shanghai Hui Yang has entered into separate non-binding memorandum of understandings (MOU) with franchise owners of 216 PetroChina Company petrol stations to provide turn-key installations of solar powered energy systems to the 216 petrol stations in Shanghai, China.