JZNEE(SH:603507) Zheng Quan Zhi Xing·2025-06-20 09:45Investment Overview - Jiangsu Zhenjiang New Energy Equipment Co., Ltd. plans to establish a foreign subsidiary in Hong Kong through its secondary subsidiary, Suzhou Shibilao Precision Fasteners Co., Ltd., with a total investment of 5 million USD [1] - The company also intends to set up a foreign subsidiary in Saudi Arabia through the proposed Hong Kong subsidiary, with an investment of 1.875 million Saudi Riyals [2] Purpose of Investment - The establishment of the Hong Kong subsidiary aims to enhance the company's international market engagement, leveraging Hong Kong's status as a global financial and trade center to improve competitiveness and future growth [3] - The investment in Saudi Arabia is aligned with the "Belt and Road" initiative and aims to expand the company's overseas business scale while optimizing its international market layout [3] Company Structure and Operations - The proposed Hong Kong subsidiary, DTF (HK) Holding Limited, will be wholly owned by Suzhou Shibilao and will focus on various investment activities, including infrastructure and consulting services [2] - The proposed Saudi Arabian subsidiary, DTF Lock Fastener Arabian LLC, will be wholly owned by the Hong Kong subsidiary and will engage in the development and production of precision fasteners and related services [2] Risks and Challenges - The establishment of the Hong Kong subsidiary may face risks due to differences in legal and commercial environments compared to mainland China, requiring approvals from relevant authorities [4] - The Saudi Arabian investment also involves uncertainties related to local legal systems and cultural differences, which may pose operational risks [5] Long-term Impact - The investments are expected to positively influence the company's long-term development capabilities and competitive advantages, contributing to future performance growth [5]