Core Viewpoint - The recent stock issuance plan by Yawen Co. is under regulatory scrutiny due to its financial investments totaling 3.789 billion yuan, raising concerns about capital operations involving state-owned assets in Yangzhou [1] Financial Investment Analysis - As of March 2025, Yawen Co. has other non-current financial assets amounting to 3.789 billion yuan, which constitutes 21.76% of its net assets, approaching the 30% regulatory threshold [1] - The majority of these funds are allocated to four industrial funds, with the largest being the Jiangsu Diquan Yawen Fengying Intelligent Manufacturing Fund, valued at 3.364 billion yuan, representing 88.79% of the total investment [1] - Despite claims of investments in the intelligent manufacturing sector, regulatory rules require thorough verification of underlying assets in industrial funds, and the investments include areas like new materials and auto parts, which do not align with Yawen Co.'s core business [1] Shareholding and Control Changes - The recent capital increase involves Yangzhou Industrial Investment Development Group subscribing to 128 million shares at a price of 7.21 yuan per share, totaling 925 million yuan [1] - Following this transaction, Yangzhou Industrial Investment Development Group will hold a 29.99% stake, becoming the controlling shareholder, with the Yangzhou State-owned Assets Supervision and Administration Commission gaining actual control [1] Financial Position and Fund Utilization - Yawen Co. reports cash and cash equivalents of 910 million yuan and trading financial assets of 161 million yuan, yet plans to allocate 67.17% (621 million yuan) of the total raised funds for liquidity support and debt repayment [1]