Zheng Quan Zhi Xing·2025-08-06 14:12Core Viewpoint - The company plans to acquire 100% equity of Chengdu New Wave Media Group Co., Ltd. through a combination of issuing shares and cash payments, which may dilute the immediate earnings per share but aims to enhance long-term competitiveness in the outdoor advertising sector [1][6]. Group 1: Impact on Earnings - The transaction is expected to dilute the company's earnings per share in the short term, as the earnings will be affected until the integration of the acquired company is completed [1]. - The projected earnings per share before and after the transaction indicate a decrease in both basic and diluted earnings per share, reflecting the immediate impact of the acquisition [1]. Group 2: Measures to Mitigate Dilution - The company intends to accelerate the integration of the acquired company to enhance its competitive advantage and operational sustainability, which is expected to lead to steady growth in performance [2]. - A commitment to improve the profit distribution policy and optimize the investment return mechanism is outlined to protect shareholder interests post-transaction [2]. - The company will strengthen its governance structure and internal controls to enhance operational efficiency and manage costs effectively [3][4]. Group 3: Commitments from Stakeholders - The controlling shareholder and actual controller, along with the board of directors and senior management, have issued commitments regarding the measures to compensate for the potential dilution of immediate returns [4][5]. - These commitments include adherence to regulatory requirements and a willingness to compensate for any losses incurred by the company or investors due to non-compliance with the outlined measures [5]. Group 4: Independent Financial Advisor's Opinion - The independent financial advisor has assessed the company's analysis of the potential dilution and found it reasonable, affirming that the proposed measures align with regulatory requirements aimed at protecting minority investors [6].