Group 1 - The company plans to acquire 100% equity of Dongguan Better Electronics Technology Co., Ltd. for a total transfer price of RMB 2.218 billion, which will make Better Electronics a wholly-owned subsidiary after the transaction is completed [1] - The performance commitment requires the target company to achieve a net profit of no less than RMB 555 million from 2025 to 2027, after deducting non-recurring gains and losses [1] - Better Electronics specializes in power electronic protection components, which provide overcurrent and overtemperature protection for electronic circuit systems, and is expanding into overvoltage protection components, aligning with the company's strategic direction [1] Group 2 - The acquisition will enhance the company's product and technology layout, creating a more comprehensive product matrix and strengthening its position in the power electronics sector [2] - There is a high market synergy between the target company and the company in terms of downstream customers, which will allow for a broader range of products and services, enhancing client value and competitiveness [2] - The company will share R&D results with the target company, promoting technology integration and further enhancing its R&D capabilities and technical accumulation [2]

Core Viewpoint - Lixing Co., Ltd. has decided to terminate the planned acquisition of Qingdao Feiyan Lingang Precision Steel Ball Manufacturing Co., Ltd. due to the inability to reach an agreement on relevant terms within the stipulated time frame [1][3]. Company Overview - Lixing Co., Ltd. operates in the general equipment manufacturing industry, focusing on the research, production, and sales of precision bearing rolling elements, including precision bearing steel balls, rollers, and ceramic balls [3]. - The company has experienced a decline in net profit for three consecutive years, with net profits of 90 million, 62 million, 60 million, and 55 million yuan from 2021 to 2024 [4]. Acquisition Details - The acquisition was intended to enhance Lixing's technological capabilities in non-bearing fields and create a strategic framework of "technology complementarity + market synergy" [3]. - Feiyan Steel Ball, established in 2004, specializes in the R&D and manufacturing of precision steel balls, holding over 90% market share in the commercial vehicle and heavy truck sectors in China [3]. Financial Performance - Lixing's revenue figures from 2021 to 2024 were 974 million, 981 million, 1.002 billion, and 1.045 billion yuan, respectively, indicating a gradual increase in revenue [4]. - The first quarter of 2025 showed a total revenue of 252 million yuan, a year-on-year increase of 4.66%, with a net profit of approximately 17.13 million yuan, reflecting an 11.28% increase [4].