Summary of the Conference Call on Hangzhou Turbine (杭汽轮) Industry Overview - The gas turbine industry is experiencing significant advancements, particularly with Hangzhou Turbine's development of a 55 MW F-class gas turbine, marking a rapid growth phase in its autonomous gas turbine business [1][2]. Key Points and Arguments Company Developments - Hangzhou Turbine has successfully developed a 55 MW F-class gas turbine, with the first commercial unit expected to be delivered in 2026, indicating a strong progression in its autonomous gas turbine capabilities [1][2]. - The company has entered a merger with Hailianxun using a 1:1 share exchange strategy, resulting in a total share capital of 1.52 billion shares and an initial market value of approximately 27 billion yuan based on Hailianxun's closing price of 18.08 yuan [3][4]. - Post-merger, the primary business focus will be on industrial steam turbines and gas turbines, which contribute over 70% of total revenue, approximately 6 billion yuan annually, with profits ranging from 300 to 500 million yuan [5][6]. Market Position and Competitiveness - Hangzhou Turbine holds a market share exceeding 50% in the industrial drive sector, particularly dominating large projects with a share of 70-80% [1][6][12]. - The company is one of the few in China with complete capabilities in manufacturing, research, and maintenance of heavy gas turbines, positioning it as a critical player in the domestic market [1][9]. Commercialization and Export Potential - The commercialization of autonomous gas turbines has progressed significantly, with Hangzhou Turbine being one of the few companies capable of the entire production chain for heavy gas turbines [9]. - The company is poised to capitalize on export opportunities due to increasing global electricity shortages, particularly in regions like the Middle East, Southeast Asia, and Central Asia [10][11]. After-Sales Service Development - Hangzhou Turbine is rapidly expanding its after-sales service capabilities, including both cooperative and independent maintenance services, with expectations of significant growth in independent maintenance starting in 2026 [11]. Future Growth and Strategic Vision - The future growth of industrial steam turbine manufacturing is expected to be driven by accelerated overseas market expansion, with projected order growth rates of 30% in 2024 and 50% in 2025 [13]. - The company aims to expand its energy transition strategy, focusing on high-end manufacturing and hydrogen energy equipment, with plans to return to A-share trading in 2027 [15]. Additional Important Insights - The merger with Hailianxun is expected to streamline operations and enhance profitability, with management integration planned for March 2024 [5]. - Hangzhou Turbine's competitive edge lies in its ability to independently develop and manufacture gas turbines, reducing reliance on foreign technology and enhancing its market position [7][8]. This summary encapsulates the critical developments and strategic directions of Hangzhou Turbine within the gas turbine industry, highlighting its growth potential and market positioning.

Core Viewpoint - The merger of Hailianxun and Hangqilun through a share swap has been completed, significantly increasing Hailianxun's scale despite its poor performance forecast for 2025 [1][2][5] Group 1: Merger Details - Hailianxun has completed the share swap merger with Hangqilun, issuing 1.175 billion new shares at a swap price of 9.35 CNY per share, resulting in an estimated market value of approximately 10.985 billion CNY [1][2] - The swap ratio is set at 1:1, meaning one share of Hangqilun can be exchanged for one share of Hailianxun, with a premium of 34.46% based on Hangqilun's average stock price [2][8] - The new shares will be listed and tradable starting February 11, 2026, with Hailianxun's total share capital increasing to 1.517 billion shares post-merger [3][5] Group 2: Financial Performance - Hailianxun's 2025 profit forecast indicates a net profit of 2 to 3 million CNY, a decline of 68.28% to 78.85% year-on-year, with a non-recurring net profit drop of 48.58% to 65.72% [5] - For the first three quarters of 2025, Hailianxun reported revenue of 125 million CNY, down 4.72% year-on-year, attributed to increased competition and higher expenses related to the merger [5] - Hangqilun's revenue for the first three quarters of 2025 was 3.826 billion CNY, a decrease of 10.27%, with a net profit of 123 million CNY, down 35.14% [1][8] Group 3: Company Profiles - Hailianxun specializes in power information system integration, providing comprehensive solutions for the electricity sector, and has struggled with revenues below 250 million CNY in recent years [4][5] - Hangqilun focuses on designing and manufacturing industrial turbines and has total assets of 17.145 billion CNY and total liabilities of 7.615 billion CNY, with an asset-liability ratio of 44.42% [6][8] - The merger aims to create a company primarily focused on industrial turbine machinery, enhancing core competitiveness and profitability through resource integration [1][3][5]

Core Viewpoint - The merger of Hailianxun and Hangzhou Turbine Power Group aims to enhance asset quality and operational efficiency, responding to national policies on state-owned enterprise reform and promoting the integration of high-end equipment manufacturing in the energy sector [1][5]. Group 1: Merger Details - Hailianxun has completed the acquisition of Hangzhou Turbine through a share swap, issuing 1,174,904,765 new shares at a price of 9.35 yuan per share, resulting in a market value of approximately 10.985 billion yuan [1]. - The merger will resolve Hangzhou Turbine's historical B-share issues and enhance its financing capabilities, particularly for its gas turbine and high-end equipment business [1]. Group 2: Industry Context - The global gas turbine industry is entering a decade-long boom, with significant demand driven by AI and energy efficiency needs, projecting a global gas installation capacity of over 100 GW in the next ten years [2]. - The U.S. is expected to add 250 GW of new gas capacity in the next five years, indicating a substantial growth opportunity for companies in this sector [2]. Group 3: Technological Advancements - Hangzhou Turbine has made significant progress in developing its 50MW HGT51F heavy gas turbine, achieving successful ignition and full-load performance tests, marking its entry into the market [3]. Group 4: International Expansion - Hangzhou Turbine's high-end equipment has successfully entered international markets, exemplified by a biomass power project in Côte d'Ivoire and a waste-to-energy project in Hong Kong, showcasing China's capabilities in high-end equipment manufacturing [4]. Group 5: Strategic Importance - The merger supports national strategic initiatives, particularly the "Two Machines Special Project," aimed at achieving technological independence in high-end energy equipment [5]. Group 6: Market Demand Outlook - The demand for gas turbines is expected to rise due to ongoing global computing power expansion and energy structure optimization, indicating a long-term favorable market environment for the industry [6].

Group 1 - The company, Hailianxun, announced a share swap merger with Hangqilun Power Group, issuing 1.175 billion shares to all shareholders of Hangqilun [1] - Each shareholder of Hangqilun can exchange 1 share of Hangqilun stock for 1 share of Hailianxun stock [1] - The new shares will be listed as merger shares, with an offline subscription method, and the listing date for the new shares is set for February 11, 2026 [1] Group 2 - The estimated market value of the asset acquisition, based on the share swap price of 9.35 yuan per share, is 10.985 billion yuan [1] - After the completion of this transaction, Hailianxun's total share capital will amount to 1.517 billion shares [1]

Group 1 - The company is currently in the implementation phase of a share swap to acquire Hangzhou Steam Turbine [1]

Group 1 - The capital market's M&A activities in the Shenzhen market are experiencing significant growth, driven by policy benefits, precise regulatory support, and proactive market participants, leading to a dual increase in both quality and quantity of transactions [1] - Since 2025, there have been 1,104 newly disclosed M&A transactions in the Shenzhen market, totaling 553.7 billion yuan, representing a year-on-year increase of 54% and 55% respectively; major asset restructurings have exceeded 100, with a year-on-year growth rate of 60% [1] - In addition to major asset restructurings, there have been 995 cash acquisitions that did not meet the major asset restructuring standards, accounting for 90% of the total restructuring activities during the same period, indicating a trend towards smaller, embedded acquisitions that enhance company quality [1] Group 2 - Among the 109 major asset restructurings, 80% were industry mergers and acquisitions, and 70% involved new quality productivity targets, with strategic emerging industries such as semiconductors, information technology, and equipment manufacturing being the core focus [2] - Notable transactions include Electric Power Investment Corporation's acquisition of nuclear power assets worth 55.4 billion yuan, establishing a specialized nuclear power operation platform, and Huatian Technology's acquisition of semiconductor company Huayi Microelectronics, optimizing the company's industrial layout [2] Group 3 - The emergence of benchmark cases and diverse restructuring models is evident, with cross-industry mergers facilitating transformation, such as Huylin Ecological's acquisition of Junheng Technology to enter the high-end optical module sector [3] - Innovative transaction models are addressing industry challenges, exemplified by Hailianxun's absorption and merger of Hangqilun B, becoming the first "A absorbs B" case post-implementation of the "six merger rules" [3] - Various payment tools are being utilized, such as Guangku Technology's combination of share issuance, targeted convertible bonds, and cash for restructuring payments, enhancing transaction flexibility and reinforcing incentive constraints [3] Group 4 - Since 2025, the Shenzhen Stock Exchange has received 41 major asset restructuring applications, a year-on-year increase of 273%, with 15 approvals, marking a 114% increase; the average time from application to approval has been reduced by 22% [4] - TCL Technology's acquisition of a minority stake in Huaxing Semiconductor for 11.6 billion yuan serves as a typical example of efficient review services for the real economy, with the transaction taking only 61 days from application to approval [4] - The Shenzhen Stock Exchange plans to continue implementing the "six merger rules," enhancing regulatory service efficiency and supporting the successful execution of more benchmark restructuring projects [4]

Core Viewpoint - The stock of Hangzhou Steam Turbine Power Group Co., Ltd. (杭汽轮) will be delisted from the Shenzhen Stock Exchange on December 22, 2025, following a share swap merger with Hangzhou Hailianxun Technology Co., Ltd. (海联讯) [2][3] Group 1: Delisting and Merger Details - The decision for the stock termination was made on December 18, 2025, and the stock will officially be delisted on December 22, 2025 [3] - The share swap will occur at a 1:1 ratio, where shareholders of Hangzhou Steam Turbine will receive shares of Hangzhou Hailianxun [3] - The stock registration date for the share swap is set for December 19, 2025 [3] Group 2: Asset and Liability Transfer - All assets, rights, and obligations of Hangzhou Steam Turbine will be transferred to Hangzhou Hailianxun upon the merger [5] - Hangzhou Hailianxun will inherit all outstanding debts of Hangzhou Steam Turbine after the merger [6] - All contracts and agreements of Hangzhou Steam Turbine will be assumed by Hangzhou Hailianxun post-merger [7] Group 3: Employee and Management Arrangements - All employees of Hangzhou Steam Turbine will have their labor contracts continued by Hangzhou Hailianxun after the merger [10] - If any directors or senior management from Hangzhou Steam Turbine continue with Hangzhou Hailianxun, their shareholding reduction will follow relevant regulations [11]

Stock Code: 200771 Stock ID: Hangqilun B Announcement No.:2025-132 Hangzhou Turbine Power Group Co., Ltd. Announcement on the Termination of the Company's Stock Listing and Delisting The members of the Board and the Company acknowledge being responsible for the truthfulness, accuracy, and completeness of the announcement. There are no false records, misleading statements, or significant omissions in this announcement. Special Reminder: The Company's stock has been decided by the Shenzhen Stock Exchange to b ...

证券代码：200771 证券简称：杭汽轮 B 公告编号：2025-132 杭州汽轮动力集团股份有限公司 关于公司股票终止上市并摘牌的公告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没有虚 假记载、误导性陈述或重大遗漏。 特别提示： 公司股票已被深圳证券交易所决定终止上市，将在 2025 年 12 月 22 日被摘牌。 〔2025〕第 354 号）。2025 年 12 月 18 日，深交所出具了《关于杭州 汽轮动力集团股份有限公司股票终止上市的决定》（深证上〔2025〕 1431 号）。根据该决定，公司股票将于 2025 年 12 月 22 日起终止上 市并摘牌。 一、终止上市股票的证券种类、代码、简称、终止上市决定日期、 摘牌日期 1 证券种类：人民币特种股票（B 股） 证券代码：200771 证券简称：杭汽轮 B 终止上市决定日期：2025 年 12 月 18 日 摘牌日期：2025 年 12 月 22 日 公司股票将自 2025 年 12 月 22 日起终止上市。海联讯换股吸收 合并杭汽轮的股权登记日为 2025 年 12 月 19 日，股权登记日收市后 杭汽轮股东持有的公司股票将按照 1 ...

Core Viewpoint - Hangzhou Steam Turbine Co., Ltd. B shares will be delisted from the Shenzhen Stock Exchange on December 22, 2025, following a merger plan with Hangzhou Hailianxun Technology Co., Ltd. [1] Group 1 - The company's stock will be converted at a 1:1 ratio into A shares of Hangzhou Hailianxun Technology Co., Ltd. for existing B shareholders [1]