Core Viewpoint - The acquisition of 100% equity in the Extreme Testing Center by Zhongqi Co., Ltd. is a strategic milestone aimed at enhancing the company's core competitiveness and fulfilling commitments made by its controlling shareholder, the China Automotive Technology Research Center [1][2]. Group 1: Acquisition Details - Zhongqi Co., Ltd. plans to acquire the Extreme Testing Center for a cash consideration of 111 million yuan, which will become a wholly-owned subsidiary and included in the consolidated financial statements [1]. - The acquisition is intended to resolve industry competition and improve the company's technical service capabilities in field testing [1][2]. Group 2: Strategic Implications - This acquisition significantly enhances Zhongqi Co., Ltd.'s technical authority in the "conventional environment + extreme environment" testing service sector, laying a solid foundation for an increase in the company's valuation [2]. - The business scope will extend to testing services in "four extreme" environments (high cold, high temperature, high altitude, and high corrosion), creating an integrated service system and expanding the company's service chain [2]. Group 3: Financial Performance - The Extreme Testing Center reported strong financial performance, with revenues of 71.34 million yuan and a net profit of 15.27 million yuan from January to April 2025, achieving a return on equity (ROE) of 15.08% [3]. - The acquisition is expected to optimize capital allocation efficiency without putting pressure on the company's operating funds, as Zhongqi Co., Ltd. had approximately 543 million yuan in cash as of June 30, 2025 [2].