Investment Banking

Our investment banking business primarily provides comprehensive corporate finance services to our institutional clients, including equity and debt financing and financial advisory services. During the Track Record Period, we have provided investment banking services to over 70 clients. Our investment banking business collaborates closely with our other business lines, such as brokerage, asset management and direct investment, to promote cross-selling and further expand our investment banking client base.

During the Track Record Period, we received the following major awards in connection with our investment banking business

"Best Investment Bank for Secondary Offerings"by Securities Times in 2013;

"Best Chief Agency Broker for the NEEQ"by Securities Times in 2013;

"Innovation Prize of Financial Advisory Projects"granted by the Shenzhen Stock Exchange and Securities Times in 2012; and

"Investment Bank with the Highest Growth Potential"by Securities Times in 2011

Equity financing

We underwrite IPOs and secondary offerings, principally rights issues and private placements. We had 19 sponsor representatives and had an additional nine candidates who are in the process of applying for such qualification as of the Latest Practicable Date. We receive underwriting commissions and fees based on the size and type of financing, duration of our engagement and complexity of the transaction as well as market conditions.

Debt financing

In our debt financing business, we underwrite fixed-income securities, such as enterprise bonds, municipal bonds and corporate bonds.

Financial advisory

We provide financial advisory services in various transactions for our clients, including, among others, M&A, asset restructuring, debt restructuring and refinancing transactions. We charge advisory fees based on the type and size of the transactions as well as specific terms of each assignment.

In addition, we provide recommendation services as chief agency broker to help private companies to enter into the NEEQ (also known as the "New OTC Board"for share quotation and transfer. We charge advisory fees for our recommendation services comparable to market standards.