Leascend(SZ:300051) Xin Lang Cai Jing·2025-04-21 07:10Core Viewpoint - Liansheng Technology plans to acquire 69.71% of Xingshu Century's equity through a combination of share issuance and cash payment, while also raising matching funds from related parties at a price of 5.47 yuan per share. This marks the company's fourth attempt at a private placement since 2020, with previous attempts failing due to various reasons [1][2]. Group 1: Company Financial Performance - Liansheng Technology has experienced continuous losses since 2018, accumulating over 800 million yuan in losses over seven years. The company expects a net profit loss of 60 million to 120 million yuan in 2024, representing a year-on-year increase of 51% to 202% [3]. - Despite a 112.5% year-on-year revenue increase to 311 million yuan in the first three quarters of 2024, the company's gross margin has sharply declined due to a price drop in the photovoltaic industry, leading to a significant increase in inventory impairment provisions [3]. - As of the end of the third quarter of 2024, the company's asset-liability ratio rose to 73.2%, with cash on hand of only 94.72 million yuan and interest-bearing liabilities exceeding 1.05 billion yuan [3]. Group 2: Industry Context and Challenges - The photovoltaic industry is expected to face losses across the entire supply chain in 2024, with leading companies like Longi and TCL Zhonghuan collectively losing over 20 billion yuan. Liansheng Technology's high-cost HJT technology exacerbates its financial pressure due to significant investment requirements and long profit cycles [3][4]. - The company has significant funding gaps in its photovoltaic projects, with only 11.64 million yuan invested in the 8GW project in Meishan out of a total investment of 4 billion yuan, and only 160 million yuan invested in the first phase of the 3GW project in Nantong [3]. Group 3: Acquisition and Strategic Risks - The acquisition target, Xingshu Century, has capabilities in photovoltaic power station operations and sodium battery demonstration projects, but sodium batteries currently hold less than 1% market share, raising questions about the feasibility of achieving synergies [4]. - Previous failed attempts at private placements were attributed to deteriorating market conditions, financial issues, valuation disputes, and concerns over potential profit transfer [4][5]. - The ongoing price war in the photovoltaic industry, along with policy adjustments affecting distributed photovoltaic installations, adds to the uncertainty surrounding the company's strategic transition [5].