Core Viewpoint - Wanjing Technology has decided to terminate its "Battery Project" and permanently allocate the remaining raised funds to working capital, reflecting ongoing challenges in project execution and market conditions [2][4][6]. Group 1: Project Overview - The "Battery Project" was initially planned with a total investment of 1 billion RMB, with 217 million RMB from raised funds allocated for equipment and software, aiming to produce 39 million micro lithium-ion batteries annually [3]. - The project faced multiple delays, with the completion date pushed from August 2023 to December 2024, and then further to June 2026, while the allocated funds were reduced to approximately 117 million RMB [3][6]. - As of September 20, 2023, the cumulative investment in the "Battery Project" reached 95.19 million RMB, achieving an investment progress of 81.08% based on the adjusted total investment [5]. Group 2: Financial Implications - The company plans to use the remaining 26.79 million RMB of raised funds to enhance liquidity and support its main business operations, indicating a shift in focus towards optimizing asset structure and resource allocation [4][6]. - In the first half of 2025, Wanjing Technology reported revenues of approximately 167 million RMB from its power/storage business, a 91.67% increase year-on-year, and 420 million RMB from consumer electronics, a 16.55% increase year-on-year [6]. Group 3: Market Context - The micro lithium-ion batteries produced by the "Battery Project" are intended for various applications, including smart wearables, medical devices, and consumer electronics, which are in growing market segments [7]. - Industry experts suggest that the repeated delays and funding reallocations may indicate underlying issues in market expansion and management's ability to navigate market conditions, potentially impacting the company's long-term stability [8].
两次延期、减投后又“停投” 万祥科技新建电池项目为何一波三折