Core Viewpoint - Tianhua New Energy plans to acquire 75% equity of Suzhou Tianhua Times from its actual controller for approximately 1.254 billion yuan, amid declining profits and a recent loss in the first half of the year [1][3]. Group 1: Acquisition Details - The acquisition involves purchasing 75% of Suzhou Tianhua Times, which reported zero revenue and a net profit of 86.437 million yuan in the first half of the year [1][2]. - The transaction is classified as a related party transaction and does not constitute a major asset restructuring [1][2]. - The valuation of 100% equity of Suzhou Tianhua Times is approximately 1.672 billion yuan as of June 30, 2025, with the agreed price for the 75% stake being 1.254 billion yuan [1][2]. Group 2: Financial Performance - Tianhua New Energy's net profit has declined for two consecutive years, with a reported loss of approximately 156 million yuan in the first half of 2025 [3][4]. - The company's revenue for the first half of 2025 was approximately 3.458 billion yuan, a decrease of 6.88% year-on-year [3][4]. - The main business segment, lithium battery materials, generated approximately 3.046 billion yuan in revenue, down 8.14% year-on-year, with a gross margin of 2.49%, a decline of 15.42% from the previous year [4]. Group 3: Company Background - Tianhua New Energy was established in 2014 and focuses on the research, production, and sales of new energy lithium battery materials, anti-static ultra-clean technology products, and medical device products [3]. - The company is controlled by Pei Zhenhua and Rong Jianfen, with Pei holding a 23.69% stake and Ningde Times holding 0.59% of the company's shares [3].

Core Viewpoint - Tianhua New Energy plans to acquire 75% equity of Suzhou Tianhua Times New Energy Industry Investment Co., Ltd. from its controlling shareholder Pei Zhenhua for approximately 1.25 billion yuan, aiming to integrate lithium mining assets into its corporate structure [1][4]. Financial Summary - Suzhou Tianhua Times was established in August 2021 with a registered capital of 1.6 billion yuan, focusing on overseas lithium mining resource investment and development [2]. - As of June 30, 2025, Suzhou Tianhua Times reported total assets of approximately 1.816 billion yuan and net assets of about 1.67 billion yuan, with a net profit of 86.437 million yuan despite zero revenue for the first half of the year [2]. - The net profit primarily stems from the reversal of bad debt provisions and returns from idle fund investments [2]. Transaction Details - The transaction price for the 75% equity transfer is set at approximately 1.25 billion yuan, based on a valuation of 1.67 billion yuan for 100% equity as of June 30, 2025 [4]. - Tianhua New Energy is required to pay the full acquisition price within 30 working days after the transaction's completion [4]. - Pei Zhenhua has made a commitment for future equity value compensation, agreeing to cash compensation to Tianhua New Energy in case of any impairment identified in a valuation to be conducted by December 31, 2027 [5]. Strategic Implications - The acquisition is expected to enhance Tianhua New Energy's long-term development and future economic benefits, with no significant adverse impact anticipated on the company's revenue and net profit for the 2025 reporting period [5].

Core Viewpoint - Tianhua New Energy (300390.SZ) plans to acquire 75% equity of Suzhou Tianhua Times New Energy Industry Investment Co., Ltd. from Mr. Pei Zhenhua, aiming to transfer control of lithium resource investment and development to the listed company and eliminate potential industry competition risks [1] Group 1 - The acquisition involves a significant stake of 75% in Suzhou Tianhua Times [1] - The transaction is intended to consolidate control over lithium mining resources within the listed company [1] - The move is also aimed at mitigating potential competition risks within the industry [1]