TYSJ(SH:688033) Zheng Quan Zhi Xing·2025-08-05 16:33Core Viewpoint - The company plans to sell part of the assets of its wholly-owned subsidiary Tianyi Shanjia (Tianjin) New Materials Co., Ltd. to improve cash flow and activate existing assets [1][2][13]. Group 1: Transaction Overview - The company intends to sell machinery and equipment related to the automotive brake pads and components project for CNY 17.5 million to Zhuhai Glailey Friction Materials Co., Ltd. [2] - The company will transfer the state-owned land use rights and buildings located at No. 5, Huanning Road, Wuqing District, Tianjin, with a building area of 16,778.56 m² for CNY 33.9 million to Chongqing Hongmai Tianxia Industrial Development Group Co., Ltd. [2] - The sale of these assets is part of a strategy to divest from the automotive brake pads and components business while transferring the rail transit brake pads business to the Beijing base [2][15]. Group 2: Financial Information - As of June 30, 2025, the total assets of Tianyi Shanjia were CNY 141,823.66 million, with total liabilities of CNY 80,154.95 million, resulting in net assets of CNY 61,668.71 million [4]. - The company reported a revenue of CNY 44,389.01 million and a net profit of CNY 4,527.14 million for the first half of 2025 [4]. - The assets being sold have a total book value of CNY 9,141.66 million, with machinery valued at CNY 2,643.55 million and real estate valued at CNY 6,498.11 million [9][16]. Group 3: Necessity and Impact of the Transaction - The company is facing significant financial pressure due to cash flow shortages and high debt obligations, prompting the need to sell assets to improve liquidity [13][14]. - The sale is expected to generate approximately CNY 51.4 million in cash, despite a discount of 43.77% on the book value of the assets [9][16]. - The board of directors and supervisory board have approved the asset sale, recognizing its importance in alleviating the company's financial strain [16].