WOER(SZ:002130) Zhong Guo Zheng Quan Bao·2025-09-23 12:33Core Viewpoint - The company plans to invest up to 1 billion yuan in a new materials project in Wujiang, Jiangsu, focusing on high-performance products for the electric vehicle and electronics industries [2][3]. Investment Details - The project will involve the construction of a research, production, and sales base for thermal runaway protection products, refractory materials, and electronic components [2]. - The total investment includes approximately 360 million yuan for infrastructure, 240 million yuan for equipment, and 400 million yuan for working capital, funded by self-raised capital from Shanghai Kete [2]. - The project will utilize about 74 acres of industrial land, with a land use right obtained through public bidding, and a land tenure of 30 years [2]. Strategic Rationale - The products align with national strategies and industry planning, benefiting from the growth in the electric vehicle sector, which is expected to increase demand for related protective products [2]. - The project's location near the headquarters of Shanghai Kete will enhance collaboration in research, manufacturing, and sales, improving resource integration efficiency [2]. - The new project aims to alleviate capacity shortages and reduce the risk of order loss due to the saturation of existing facilities [2][3]. Financial Overview - Shanghai Kete, the project implementer, is a New Third Board innovation layer company, with Walden Materials holding 78.76% of its shares [3]. - As of June 30, 2025, Shanghai Kete reported total assets of 732 million yuan and net assets of 373 million yuan, with a revenue of 222 million yuan and a net profit of 22 million yuan for the first half of 2025 [3]. - The investment is expected to enhance production capacity, improve overall profitability, and strengthen market competitiveness, laying a solid foundation for sustainable development [3]. Approval Process - The investment does not require approval from the company's shareholders and does not constitute a related party transaction or a major asset restructuring [4].