3 6 Ke·2026-01-13 08:11Core Viewpoint - The announcement reveals a dispute between Wentech Technology and its counterpart Luxshare regarding the asset sale of Wentech's Indian subsidiary, which has been submitted to the Singapore International Arbitration Centre (SIAC) for resolution [1][2]. Group 1: Asset Sale and Dispute - Wentech Technology initiated a significant asset sale in March 2025, intending to transfer multiple assets, including 100% equity of several subsidiaries and business assets in India, to Luxshare Precision Industry Co., Ltd. and Luxshare Communications (Shanghai) Co., Ltd. [1] - As of the announcement date, most of the assets involved in the transaction have completed ownership transfer procedures, with only the land in India pending due to payment disputes [1]. - Luxshare has not paid approximately 160 million RMB of the remaining transaction price as stipulated in the Indian Asset Agreement signed on June 27, 2025, leading to Wentech's repeated written reminders and Luxshare's unilateral claim to terminate the agreement [1][2]. Group 2: Arbitration and Legal Response - Luxshare has initiated arbitration at SIAC, seeking to terminate the Indian Asset Agreement, relieve itself of performance obligations, and demand the return of approximately 1.977 billion Indian Rupees already paid, along with interest and arbitration costs [2]. - Wentech Technology plans to actively respond to the arbitration, preparing legal documents and counterclaims to enforce the agreement and seek compensation for losses [2]. - The arbitration only concerns the delivery of the Indian business asset package, while other assets have been successfully delivered without litigation [2]. Group 3: Company Background and Financial Performance - Wentech Technology, established on January 11, 1993, has a registered capital of 12.449 billion RMB and focuses on mobile communications, semiconductors, and electronic components [2]. - The company reported revenues of 58.079 billion RMB, 61.213 billion RMB, 73.598 billion RMB, and 29.769 billion RMB for the years 2022, 2023, 2024, and the first three quarters of 2025, reflecting year-on-year growth rates of 10.15%, 5.40%, 20.23%, and a decline of 44.00% respectively [3]. - The net profit attributable to the parent company for the same periods was 1.460 billion RMB, 1.181 billion RMB, -2.833 billion RMB, and 1.513 billion RMB, with year-on-year changes of -44.10%, -19.00%, -339.83%, and 265.09% respectively [3]. Group 4: Strategic Business Changes - In late January 2025, Wentech signed a share transfer agreement with Luxshare to transfer shares of three companies for a total consideration of approximately 1.7 billion RMB, with the registration changes completed [4]. - This transaction will allow Wentech to divest its product integration business and focus solely on its semiconductor business, marking a significant shift in its business structure [4]. - The decision to divest was influenced by being placed on the "entity list" in December 2024, prompting Wentech to explore various strategic options to mitigate ongoing losses [4].