Securities Code: 001388
Securities Abbreviation: Xintong Electronics
Announcement No.: 2026-041
Shandong Xintong Electronics Co., Ltd.
Announcement on External Investment
The Company and the entire Board of Directors guarantee that the information disclosed is true, accurate, and complete, and contains no false records, misleading statements, or major omissions.
Special Risk Warning:
Shandong Xintong Electronics Co., Ltd. (hereinafter referred to as the "Company" or "this Company") intends to invest RMB 160 million to subscribe for the increased registered capital of Foushi Technology Co., Ltd. (hereinafter referred to as the "Target Company", "Target Company", or "Foushi Technology"), increasing its registered capital by RMB 133.759916 million, with each registered capital unit priced at RMB 119.6173. Upon completion of this transaction, the Company will hold a 5.633803% equity stake in the Target Company.
This investment may face the following major risks. Investors are kindly requested to pay close attention to and be aware of the investment risks:
- Risk of Target Company's Operating Performance
The Target Company specializes in the design of physical AI spatial perception chips, characterized by rapid technological iteration, high R&D investment, and a long period for profit realization. Its self-developed chip products are currently in the ramp-up phase of mass production and have not yet achieved stable profitability. The Target Company's operations may be affected by factors such as the macroeconomic environment, industry trends, and market competition, leading to uncertainty in future operating performance. There is a risk that future performance may not meet expectations, potentially causing the investment returns to fall short of expectations.
- Risk of Synergy Not Meeting Expectations
The Company currently primarily provides intelligent operation and maintenance products and system solutions for the power and communication industries. The Target Company is in the chip industry. Although there is good business synergy between the two parties, the Company has not yet been involved in businesses related to the chip field where the Target Company operates. This external investment in the chip sector is an upstream investment in the Company's industrial chain. The chip industry is characterized by rapid technological updates and high R&D investment. If the Company's own technical capabilities are insufficient, or if its understanding of chip technology iteration or customer demand is inadequate, and it is also affected by macroeconomic fluctuations and competition, there is a risk of failing to achieve strategic cooperation goals. Furthermore, this is the first cooperation between the Target Company and this Company. Both parties will require continuous integration in terms of business execution, technological empowerment, and industrialization. Therefore, whether the business synergy can meet expectations is also uncertain.
- Investment Impairment Risk
The field in which the Target Company operates is characterized by rapid technological iteration and high R&D uncertainty. Coupled with market competition, management, and other factors, there is a risk of future performance losses and significant value depreciation. If these risks materialize, the Company will face substantial investment losses and corresponding asset impairment provisions, which will have a certain negative impact on the Company's financial condition, operating results, and overall profitability.
- Valuation and Pricing Risk
The Target Company's future profitability and valuation realization are subject to uncertainty due to macroeconomic fluctuations, the development of the LiDAR downstream industry, and changes in terminal market demand. The valuation for this transaction was determined through market-oriented friendly negotiation among all parties. The pricing process referenced the financing valuation levels of companies in the same sector domestically and internationally, and fully considered the Target Company's technological uniqueness, team barriers, R&D progress, and future growth potential. If its R&D, commercialization, or financing progress falls short of expectations, it may lead to the valuation being unsustainable and ultimately result in investment losses.