Core Viewpoint - The company, Henan Shenhuo Coal and Electricity Co., Ltd., plans to invest 1 billion yuan in its wholly-owned subsidiary, Shenhuo New Materials Technology Co., Ltd., to enhance its aluminum processing segment and improve its profitability and core competitiveness [1][2]. Group 1: Investment and Financial Details - The investment has been approved by the company's board and will increase Shenhuo New Materials' registered capital from 908 million yuan to 1.355 billion yuan [1]. - The company aims to use the funds to expand production capacity and meet the growing market demand for aluminum foil products [2][3]. Group 2: Business Strategy and Market Position - Shenhuo New Materials is currently in a critical phase of business expansion and upgrading, with the investment providing necessary financial support for production scale and technological advancements [2]. - The company has already achieved mass production of high-end ultra-thin battery aluminum foil and capacitor foil, supplying major domestic battery manufacturers [2]. - The investment aligns with the company's strategy to extend its value chain into high-value-added aluminum processing, leveraging its existing complete industrial chain from coal and electricity to aluminum processing [3]. Group 3: Market Demand and Future Prospects - The demand for battery aluminum foil is expected to rise due to the rapid development of electric vehicles and energy storage batteries, with increasing performance and precision requirements from downstream customers [2]. - The investment will help alleviate performance pressure on the subsidiary and support the development of new products, such as ultra-thin high-strength battery foil, while addressing cost pressures during capacity expansion [3].