Core Viewpoint - Quzhou Development plans to acquire shares of Xian Dao Electronic Technology Co., Ltd. (Xian Dao Dian Ke) through a share issuance and raise matching funds, following a previous failed acquisition attempt by Guangzhi Technology [2][4][8]. Group 1: Acquisition Details - Quzhou Development announced a suspension of trading starting July 30, with an expected duration of no more than 10 trading days. As of July 29, the stock price was 4.12 yuan per share, with a total market capitalization of 35.06 billion yuan [4][8]. - The acquisition involves purchasing shares held by Guangdong Xian Dao Rare Materials Co., Ltd. (Xian Dao Xi Cai), which owns 46.957% of Xian Dao Dian Ke, as well as shares from other shareholders including China International Capital Corporation, BYD, and various state-owned enterprises [11][13]. - The previous acquisition attempt by Guangzhi Technology was terminated due to disagreements on commercial terms, raising concerns about the challenges Quzhou Development may face in its acquisition process [14][15]. Group 2: Financial Performance - Quzhou Development recently announced a projected decline in net profit for the first half of 2025, estimating a drop of 86% to 210 million yuan, with a 75% decrease in net profit after deductions [17][21]. - The company aims to leverage the acquisition of Xian Dao Dian Ke to enhance its financial performance, as its revenue primarily comes from real estate, which has cyclical and phased characteristics [21][23]. - Xian Dao Dian Ke is recognized as a "unicorn" with a valuation exceeding 20 billion yuan, specializing in the research and manufacturing of sputtering targets and evaporation materials, holding over 30% of the global ITO target market share [4][23].