Group 1 - The company, Geer Software (603232.SH), plans to issue shares to specific investors to raise a total of no more than 283 million yuan [1] - The net proceeds from the fundraising, after deducting issuance costs, will be used for the industrialization of quantum-resistant cryptography technology projects, development and industrialization of trusted data space platforms, and to supplement working capital [1]

Core Viewpoint - The company plans to raise up to 283 million yuan through a simplified procedure for issuing A-shares to specific investors, aimed at funding quantum-resistant cryptography technology and trusted data space platform development, as well as supplementing working capital [1][2][3]. Group 1: Background and Purpose of the Issuance - The issuance is driven by the increasing importance of information security in China, supported by a robust legal framework including the Cybersecurity Law and Data Security Law, which has led to heightened investments in information security across various sectors [1][2]. - The rise of quantum computing poses significant threats to traditional cryptographic methods, necessitating the development of quantum-resistant algorithms to safeguard sensitive information [1][2][3]. Group 2: Investment Projects and Strategic Alignment - The funds raised will be allocated to projects that align with national policies and the company's strategic goals, focusing on enhancing technical capabilities in data security to meet the urgent needs of government, military, and financial sectors [2][3][4]. - The company aims to leverage its expertise in cryptography to capitalize on the growing demand for data security solutions, thereby improving its market competitiveness and expanding its business scope [3][4]. Group 3: Necessity and Feasibility of the Issuance - The issuance is deemed necessary to support the company's long-term strategic objectives, maintain a healthy capital structure, and reduce financial risks [4][5]. - The choice of issuing A-shares to a limited number of specific investors is compliant with regulatory requirements and is considered an appropriate financing method for the company's current stage [5][6]. Group 4: Financial Impact and Shareholder Considerations - The issuance may lead to a temporary dilution of earnings per share and return on equity due to the increase in total shares outstanding, but it is expected to enhance the company's financial strength and operational scale in the long run [13][14][15]. - The company has committed to measures to mitigate the impact of share dilution on immediate returns for shareholders, including strict management of the raised funds and adherence to regulatory guidelines [21][22][23].

Group 1 - The core business of Geer Software is entirely focused on the software industry, with a revenue composition of 100% from this sector for the year 2024 [1] - Geer Software announced on August 7 that it plans to issue A-shares to specific investors, with the authorization from the 2024 annual shareholders' meeting [3] - The issuance will target no more than 35 specific investors, with the share price set at no less than 80% of the average trading price over the previous 20 trading days [3] Group 2 - The company aims to raise up to 283 million yuan through this issuance, with funds allocated for various projects [3] - The funds will be used for the following projects: approximately 160 million yuan for the industrialization of quantum-resistant encryption technology, 89.35 million yuan for the research and development of a trusted data space platform, and 33.36 million yuan for supplementing working capital [3]