Core Viewpoint - Nairui Radar is advancing its acquisition of Tianjin Sigma Microelectronics, planning to pay a total of 370 million yuan, with a significant premium of 421.4% over the assessed value of the target company [1][5][6]. Financial Position - As of the end of 2024, Nairui Radar has a total of 16.24 billion yuan in broad monetary funds, with a negligible debt level, resulting in an asset-liability ratio of only 8.62% [3][4]. - The company raised 1.8 billion yuan in its IPO in 2023, with an excess of 686 million yuan, and has 11.39 billion yuan in idle funds for financial management [2][4]. Acquisition Details - The acquisition of Tianjin Sigma will be executed through a combination of share issuance and cash payment, with each component valued at 185 million yuan [2]. - The target company, Tianjin Sigma, specializes in the research, design, and sales of integrated circuits, including optical sensors and MCU chips [2][5]. Performance Metrics - Tianjin Sigma's net profit for 2024 was only 10.35 million yuan, significantly below the performance commitments made to Nairui Radar, which require a minimum of 22 million yuan in 2025 [7][12]. - The company reported a revenue of 1.02 billion yuan in 2023 and 1.23 billion yuan in 2024, with a growth rate of 20.6% in 2024 [12]. Compliance with Sci-Tech Board Requirements - Nairui Radar's acquisition must meet the Sci-Tech Board's requirements, which include having a certain number of patents and revenue growth metrics [8][11]. - Tianjin Sigma has only 6 patents, falling short of the requirement for 7, and its revenue does not meet the threshold of 300 million yuan [11][14]. Strategic Rationale - The acquisition aims to enhance Nairui Radar's technological capabilities in radar systems by integrating Tianjin Sigma's chip technology, potentially improving competitive advantage in the market [6][14].

Core Viewpoint - Narui Radar (688522.SH) is advancing its first asset restructuring post-IPO by acquiring 100% equity of Tianjin Sigma Microelectronics for approximately 370 million yuan, aiming to enhance its core business in phased array radar technology and improve its competitive edge through vertical integration [2][3]. Group 1: Transaction Details - The acquisition price for Tianjin Sigma's 100% equity is set at 370 million yuan, with a valuation increase of 421.4% [3]. - Narui Radar plans to raise up to 185 million yuan from no more than 35 specific investors to fund the cash portion of the transaction [3]. - The deal is expected to extend Narui Radar's industrial chain and further enhance its competitiveness [3]. Group 2: Financial Performance - In Q1 2025, Narui Radar reported revenue of 58.19 million yuan, a year-on-year increase of 84.8%, and a net profit of 21.67 million yuan, up 412.7% [2][8]. - For 2024, Narui Radar achieved revenue of 345 million yuan, a 62.49% increase, and a net profit of 76.61 million yuan, growing by 21.03% [8]. - The company has signed contracts worth approximately 112 million yuan in Q1 2025, reflecting a year-on-year growth of 249.63% [9]. Group 3: Tianjin Sigma's Performance and Commitments - Tianjin Sigma is projected to achieve revenues of 102 million yuan and 123 million yuan in 2023 and 2024, respectively, with net profits of 4.22 million yuan and 12.39 million yuan [6]. - The restructuring includes performance commitments for Tianjin Sigma, ensuring a cumulative net profit of no less than 78 million yuan from 2025 to 2027 [7]. - The company has a strong focus on integrated circuit design, with significant sales to its top five customers accounting for 44% and 46.92% of revenue in 2023 and 2024, respectively [5].