TJBE(SZ:000695) Xi Niu Cai Jing·2025-11-19 11:41Core Viewpoint - Binhai Energy has terminated its plan to acquire 100% equity of Cangzhou Xuyang Chemical Co., which was intended to alleviate the company's profitability pressure in its main business of lithium battery anode materials [1][4][5]. Group 1: Transaction Details - The board of Binhai Energy approved the termination of the proposal for issuing shares to purchase assets and related fundraising on November 14 [1]. - The acquisition was characterized as a "snake swallowing elephant" merger, with Cangzhou Xuyang's total assets exceeding Binhai Energy's by more than ten times as of Q1 2025 [4]. - The termination of the transaction also halts the planned change of controlling shareholder from Xuyang Holdings to Xuyang Group [4]. Group 2: Financial Performance - Binhai Energy has reported consecutive losses over the past three years, with net profits of -102 million, -18.11 million, and -28.13 million yuan from 2022 to 2024 [5]. - In the first three quarters of 2025, the company achieved revenue of 374 million yuan, a year-on-year increase of 2.03%, but still reported a net loss of -49.44 million yuan [5]. Group 3: Business Strategy - The company’s main business involves the research, production, and sales of lithium battery anode materials, which have faced increasing competition, leading to sustained pressure on profitability [5]. - The acquisition of Cangzhou Xuyang was seen as a potential second growth curve to alleviate profitability issues, as Cangzhou Xuyang is a leading player in the nylon new materials sector [5]. - Following the termination of the acquisition, Binhai Energy's efforts to establish a dual business model of "anode materials + nylon new materials" have been put on hold [5]. Group 4: Future Outlook - Binhai Energy stated that the termination of the transaction will not significantly impact its current operations and strategic development [6]. - The company is actively pursuing market expansion for anode materials and is working on several projects, including a 200,000-ton integrated anode materials project [6]. - Binhai Energy has committed to not planning any major asset restructuring for one month starting from November 15 [7].