Wolong New Energy Group(SH:600173) Zheng Quan Zhi Xing·2025-05-22 15:18Core Viewpoint - The company is undergoing a significant asset sale, transferring 90% of its stake in Shanghai Mining to Zhejiang Wolong Shunyu Investment Co., Ltd for a transaction price of 220.5 million yuan, aiming to focus on renewable energy projects and optimize resource allocation [6][8]. Group 1: Transaction Overview - The transaction involves the sale of 90% equity in Shanghai Mining, which primarily engages in copper concentrate trading [6][8]. - The transaction price is set at 220.5 million yuan, with an assessed value of 226.9 million yuan for the entire equity of Shanghai Mining, reflecting a 22.49% increase in value [6][9]. - The company will no longer hold any equity in Shanghai Mining post-transaction, marking a strategic shift away from copper trading [8][10]. Group 2: Impact on Business Operations - Following the transaction, the company will eliminate competition with its subsidiary Zhejiang Mining and will concentrate on strategic areas such as photovoltaic, wind energy, hydrogen storage, and other renewable energy projects [8][10]. - The company aims to enhance its core competitiveness and operational efficiency by reallocating resources towards high-quality renewable energy projects, aligning with national carbon neutrality goals [8][10]. - The sale is expected to reduce total assets and liabilities, with total assets decreasing from approximately 866.25 million yuan to 821.71 million yuan, and total liabilities dropping from 408.51 million yuan to 360.45 million yuan [12][15]. Group 3: Financial Implications - The company's revenue is projected to decline significantly, with operating income expected to drop from 488.13 million yuan to 240.52 million yuan post-transaction [12][15]. - The basic earnings per share (EPS) after deducting non-recurring gains and losses will decrease from 0.14 yuan to 0.06 yuan, indicating a reduction in profitability [12][15]. - The transaction is anticipated to improve liquidity and lower the asset-liability ratio from 47.16% to 43.87%, enhancing the company's financial stability [12][15]. Group 4: Governance and Compliance - The transaction has received preliminary approval from the company's actual controller and major stakeholders, ensuring compliance with regulatory requirements [11][12]. - The company has committed to strict information disclosure obligations and will provide a platform for shareholder voting to protect the rights of minority investors [13][14]. - Independent financial advisors and legal counsel have been engaged to ensure the fairness and transparency of the transaction [13][14].