Core Viewpoint - A semiconductor company, Jinghe Integrated, is planning to issue H-shares and list on the Hong Kong Stock Exchange to enhance its international strategy and competitiveness [1][3]. Group 1: Company Strategy and Developments - Jinghe Integrated aims to deepen its international strategy, accelerate overseas business development, and improve its brand image by leveraging international capital market resources [1][3]. - The company is currently discussing the specifics of the H-share listing with relevant intermediaries, and this move will not change the controlling shareholder or actual controller [3]. - Prior to the H-share listing, Jinghe Integrated secured a strategic investment from Huakin Technology, which will acquire a 6% stake at a price of 19.88 yuan per share, totaling 2.39 billion yuan [3][5]. Group 2: Financial Performance - For the first half of 2025, Jinghe Integrated expects revenue between 5.07 billion yuan and 5.32 billion yuan, representing a year-on-year growth of 15.29% to 20.97% [6]. - The projected net profit attributable to shareholders is between 260 million yuan and 390 million yuan, indicating a significant increase of 39.04% to 108.55% year-on-year [6]. - The company attributes its performance improvement to increased product sales and high capacity utilization, alongside a focus on expanding application areas and developing high-end products [6]. Group 3: Product Development and Market Position - Jinghe Integrated is a leading semiconductor wafer manufacturer, producing various chips used in consumer electronics and office products, with a strong overlap with Huakin Technology's existing product lineup [5]. - The company has achieved mass production of its 40nm high-voltage OLED display driver chips and 55nm CIS chips, with ongoing development of 28nm chips expected to enter risk production by the end of the year [7]. - Continuous investment in R&D, with a 15% increase compared to the previous year, is aimed at ensuring ongoing technological innovation and enhancing market competitiveness [6].

Core Viewpoint - Konka Group has decided to terminate its acquisition plan for Hongjing Microelectronics due to failure to reach consensus on key terms with the counterpart, aiming to protect the interests of all shareholders, especially minority shareholders [1] Group 1: Acquisition Details - The acquisition plan involved purchasing 78% of Hongjing Microelectronics' shares and raising matching funds through issuing shares to 17 counterparties, with a share price set at 3.64 yuan, which is 80% of the average trading price over the previous 120 trading days [2] - Hongjing Microelectronics specializes in multimedia chip design, with applications in various sectors including medical, automotive, and smart manufacturing, and has developed at least 45 multimedia chip products [2][3] Group 2: Financial Performance - Hongjing Microelectronics has shown unstable financial performance, with revenues of 291 million yuan in 2022, 286 million yuan in 2023, and 269 million yuan in the first 11 months of 2024, alongside net profits of 19.41 million yuan, 27.64 million yuan, and 12.99 million yuan respectively [3] - As of November 30, 2024, Hongjing Microelectronics had total assets of 733 million yuan and total liabilities of 330 million yuan [3] Group 3: Strategic Implications - The acquisition was intended to enhance Konka Group's positioning in the semiconductor industry, particularly in high-end display terminals, and to improve the self-control capability of upstream core chips [4] - Konka Group's recent financial report indicated challenges in its strategic transformation, with a significant decline in semiconductor revenue from 340 million yuan to 17 million yuan, contributing only 1.53% to total revenue [4] Group 4: Ownership Changes - The termination of the acquisition may be linked to strategic adjustments following the change of control to China Resources, which occurred shortly after the acquisition plan was disclosed [5]

Core Viewpoint - Deep Konka A announced the termination of the plan to acquire 78% of Hongjing Microelectronics due to failure to reach agreement on key terms with the transaction parties [1][6]. Group 1: Acquisition Details - The acquisition plan was initially announced on December 30, with the intention to purchase shares from Liu Wei and 17 other parties at a price of 3.64 yuan per share [5]. - Hongjing Microelectronics specializes in audio and video chip design, having developed over 70 domestic chips for various applications including commercial displays and medical devices [5]. - The acquisition was expected to enhance Deep Konka A's capabilities in high-end display terminals and improve its semiconductor business integration [5]. Group 2: Financial Performance - Deep Konka A's stock price has seen a decline of nearly 11% year-to-date, closing at 4.93 yuan per share on June 10 [1][10]. - The company reported a significant drop in revenue for 2024, with total revenue of 11.11 billion yuan, a decrease of 37.73% compared to the previous year [8]. - The semiconductor and storage chip business accounted for only 1.53% of total revenue, down 94.99% year-on-year [8]. - The company has faced continuous losses, with net profits of -1.47 billion yuan in 2022, -2.16 billion yuan in 2023, and -3.30 billion yuan in 2024 [8][10]. Group 3: Market Conditions and Strategic Changes - The company cited intensified market competition and ongoing supply chain disruptions as factors contributing to its financial struggles [10]. - In April, it was announced that the controlling shareholder would change from Overseas Chinese Town Group to a subsidiary of China Resources, indicating a shift in strategic direction [10].