13.	Short-term bank loan and credit facility

As of

September 30, 2019,

the Company had a revolving credit facility of

RMB5.0

million (approximately

US$0.7

million) for short-term working capital loans granted by a major financial institution in China, which currently is available to the Company until

January 2020.

As of

September 30, 2019,

under the revolving credit facility, the Company borrowed

RMB3.0

million (approximately

US$0.42

million) short-term loan, which will mature in

January 2020.

During the

nine

months ended

September 30, 2019,

the Company had another

RMB3.0

million (approximately

US$0.42

million) short-term working capital loan borrowed from the same financial institution, of which

RMB1.5

million (approximately

US$0.21

million) matured and was repaid on

July 29, 2019

and the remaining

RMB1.5

million (approximately

US$0.21

million) matured and was repaid on

September 29, 2019.

Collateral for the above discussed revolving credit facility and short-term bank loans included an unlimited guarantee from Mr. Handong Cheng (Chairman and Chief Executive Officer of the Company) and his spouse and an approximately

US$0.03

million term deposit, which matured on

October 17, 2019.

Interest rate of the current outstanding short-term working capital loans was

5.655%

per annum, which is

30%

over the benchmark rate of the People’s Bank of China (the “PBOC”).