Core Viewpoint - The company *ST Huaron (600421.SH) is undergoing a potential change in control due to the planned share transfer by its major shareholders, Zhejiang Hengshun and Shanghai Tianji, which may lead to a shift in ownership [1][6]. Financial Performance - The company has reported continuous net profit losses for four consecutive years from 2021 to 2024, with losses of -8.86 million, -6.49 million, -8.28 million, and -4.68 million, totaling over 28 million [7]. - The company's non-recurring net profit has been in the red for nine consecutive years from 2016 to 2024, accumulating losses exceeding 60 million [8]. - In 2024, the company's revenue was only 117 million, with actual revenue after excluding unrelated income being 112 million [10]. Shareholder Structure - As of Q1 2025, Zhejiang Hengshun and Shanghai Tianji hold 19.50% and 12.46% of *ST Huaron's shares, respectively, giving them a combined voting power of 31.96%, under the actual control of Lou Yongliang, chairman of Zhongtian Holdings Group [6]. Business Strategy and Challenges - In response to the delisting risk, *ST Huaron is attempting to pivot its business by expanding into the wind power mixed tower mold market through its subsidiary, Zhejiang Zhuangchen [11]. - The annual report indicates that Zhejiang Zhuangchen contributed 100% of the company's total revenue in 2024 [12]. - Despite these efforts, the company is still facing challenges, with expected net losses of 2.7 million to 4 million in the first half of 2025, primarily due to low gross margins from Zhejiang Zhuangchen and investments in a new computing subsidiary [14]. Control Change Attempts - This is the second time within a year that *ST Huaron is planning a change in control, having previously attempted to do so in November 2022 and February 2023, both of which were terminated shortly after announcement [3][18]. - The current share transfer involves a deal with Hainan Bocheng Huineng Technology Center, with an estimated transaction value of approximately 325 million based on pre-suspension market capitalization [19]. New Investor Profile - The actual controller of Hainan Bocheng, Lin Mushun, is an investor with a PhD in finance from Xiamen University, primarily involved in the education sector, managing over 180,000 students across 26 vocational colleges [20].