Core Viewpoint - Jing Sheng Co., Ltd. (688478) is focusing on mergers and acquisitions amid pressure on its performance, as it plans to acquire all shares of Beijing Weizhun Intelligent Technology Co., Ltd. and raise supporting funds [1][3]. Group 1: Acquisition Details - The acquisition involves issuing shares and paying cash to purchase all shares of Weizhun Intelligent from ten trading parties, allowing Jing Sheng to gain control over the company [3]. - The transaction is expected not to constitute a major asset restructuring but will be classified as a related party transaction [3]. - Weizhun Intelligent specializes in the research, production, and sales of testing equipment in the wireless communication field, primarily focusing on wireless signal comprehensive testing instruments and high-precision direct flow control power supplies [3]. Group 2: Financial Performance - Jing Sheng's financial performance has been declining, with a projected net profit drop in 2024 compared to the previous year, and a net loss reported in the first half of this year [1][6]. - For the first half of the year, Jing Sheng reported revenue of approximately 158 million yuan, a year-on-year decrease of 20.29%, and a net loss of about 7.45 million yuan [7][8]. - The company attributes its losses to cyclical industry fluctuations, temporary changes in product acceptance structure, and declining gross margins on photovoltaic products [8]. Group 3: Future Strategies - To address its losses, Jing Sheng plans to maintain high R&D investment, focus on market demand, and seek partnerships that can create win-win situations through mergers and acquisitions [8]. - The company aims to enhance its operational management and reduce costs while expanding its product offerings in the semiconductor field [8]. Group 4: Market Reaction - Following the announcement of the acquisition, Jing Sheng's stock opened slightly higher but experienced a significant drop of nearly 12% during the trading day, closing down 9.14% at 37.97 yuan per share, with a total market capitalization of 5.254 billion yuan [8].
业绩承压 晶升股份欲并购为准智能