Core Viewpoint - New Morning Power (01148.HK) announced a strategic acquisition plan to acquire 53% of AVIC Lantian Equipment Manufacturing Co., Ltd. for up to 147 million yuan, with an additional investment of 5 million USD (approximately 36 million yuan), totaling about 183 million yuan, aiming to enhance its market presence in non-road vehicles [1][8] Group 1: Acquisition Details - The acquisition will result in New Morning Power holding approximately 60% of AVIC Lantian, making it an indirect non-wholly-owned subsidiary [1][8] - The transaction is subject to several conditions, including due diligence completion and internal approvals, with a final deadline of June 30, 2026 [12] Group 2: Financial Concerns - AVIC Lantian reported net losses of 18.872 million yuan and 23.413 million yuan for 2023 and 2024, respectively, raising concerns about its operational capabilities [2][9] - The acquisition lacks any performance commitment from the original shareholders, meaning New Morning Power will bear the risk of turning around AVIC Lantian's financial performance [2][9] Group 3: Strategic Rationale - The acquisition aims to diversify New Morning Power's business, which primarily focuses on passenger and light commercial vehicle engines, by integrating AVIC Lantian's complementary product lines in special equipment and industrial robotics [3][10] - This move aligns with New Morning Power's long-term strategy to transition towards new energy power systems, especially as the traditional engine market slows down [3][10] Group 4: Market Challenges - The transaction faces three main challenges: the pressure to achieve profitability for AVIC Lantian, integration risks due to geographical and cultural differences, and the cyclical nature of the special vehicle and mining machinery market [4][11] - New Morning Power's revenue growth of 13.88% and 7.06% for 2024 and the first half of 2025 is overshadowed by declining net profits of 7.06% and 25.46%, indicating potential financial strain [4][11] Group 5: Government Support - The collaboration is viewed as a model for "Sichuan-Jin Industry Collaboration," with local government support expected to facilitate the integration process [3][10]
新晨动力拟1.83亿收购中航兰田60%股权 标的公司连续亏损但未设业绩承诺