Group 1 - The core point of the article is that Zhejiang Longdi Group Co., Ltd. plans to acquire up to 20.1667% of Ningbo Jujia New Materials Technology Co., Ltd. for no more than 121 million yuan, increasing its stake from 1.3721% to 21.5388% [1][2] - The acquisition aims to strengthen Longdi Group's new materials segment, which has shown significant growth, with projected revenue of 192 million yuan in 2024, representing a year-on-year increase of 51.12% [2] - Longdi Group has a strong focus on the new materials sector, particularly in high-performance LCP (Liquid Crystal Polymer) materials, which are widely used in critical fields such as aerospace and industrial applications [2] Group 2 - Jujia Technology, founded in 2017, specializes in the full industrial chain production and R&D of LCP fibers, films, and resins, making it a key player in the high-tech sector [2] - The investment in Jujia Technology is expected to enhance Longdi Group's product offerings in emerging fields such as automotive electronics and humanoid robots, thereby boosting its sustainable development [2] - Experts suggest that the acquisition will fill Longdi Group's technological gaps in high-end new materials and support the upgrade of its existing products, creating a win-win situation for both companies [2]

Investment Overview - The company intends to acquire up to 20.1667% equity in Ningbo Jujia New Materials Technology Co., Ltd. for a total price not exceeding 121 million RMB [1][5] - The acquisition will be made through cash payment and does not constitute a related party transaction or a major asset restructuring as per regulations [1][2] Target Company Information - Ningbo Jujia New Materials Technology Co., Ltd. was established on November 27, 2017, with a registered capital of approximately 14.2 million RMB [2][3] - The company specializes in technology services, research and development of bio-based materials, and manufacturing of synthetic materials [2][3] Financial Data - The target company's total assets as of the latest reporting period amount to approximately 389.4 million RMB, with total liabilities of about 280.8 million RMB [3] - The company reported a net loss of approximately 6.1 million RMB in the latest financial period [3] Transaction Details - The investment agreement is currently a non-binding intention, and further due diligence will be conducted before a formal agreement is signed [4][11] - The transaction is subject to various conditions, including the completion of due diligence and internal approvals from both parties [6][8] Strategic Importance - The acquisition is expected to enhance the company's capabilities in the new materials sector, particularly in high-performance LCP fibers and resins, which have applications in aerospace, industrial transport, and high-end cables [10] - Successful completion of the investment will support the company's expansion into emerging fields such as automotive electronics and humanoid robotics [10]

Group 1 - Longdi Group plans to acquire up to 20.1667% of Ningbo Jujia New Material Technology Co., Ltd. for a total price not exceeding 121 million yuan, estimating Ningbo Jujia's total valuation at approximately 600 million yuan [1] - Longdi Group previously acquired 1.37% of Ningbo Jujia for 20 million yuan in 2022, indicating a significant decline in Ningbo Jujia's valuation from approximately 1.46 billion yuan to the current estimate [1] - Ningbo Jujia is currently in a state of significant losses, which is likely a major factor contributing to its decreased valuation [1][5] Group 2 - Ningbo Jujia focuses on the production of LCP (Liquid Crystal Polymer) fibers, films, and resins, and is the only company in the industry with a full-scale production and R&D capability across the entire LCP supply chain [2] - LCP is widely used in critical fields such as aerospace, industrial transport, and high-end cables, highlighting its importance as a high-end specialty engineering material [3] - Longdi Group's main business includes mechanical fans, household air conditioning blades, and composite materials, with a commitment to deepening its involvement in the new materials sector [3] Group 3 - The global LCP materials industry is primarily dominated by companies from the United States and Japan, but Chinese companies like Jinfat Technology, Water Co., and Pulit have rapidly entered the LCP market, increasing their production capacity and application scope [3][4] - Jinfat Technology has an annual production capacity of 33,600 tons for semi-aromatic polyamide, LCP, and PPSU/PES synthetic resins, with a project for 15,000 tons of LCP synthetic resin expected to begin production [4] - Water Co. is advancing a new project to build a 20,000-ton LCP resin production capacity, positioning itself to become the largest global LCP supplier [4] Group 4 - Ningbo Jujia reported revenues of 61.91 million yuan and losses of 46.31 million yuan in 2024, with Q1 revenues of 15.28 million yuan and losses of 609,290 yuan [5] - As of the end of Q1 this year, Ningbo Jujia had total assets of 389 million yuan and net assets of 109 million yuan [5] - Recent exits from Ningbo Jujia's shareholder list by several investment institutions indicate a potential lack of confidence in the company's future performance [6][7]