Quzhou Xinan Development plans share issuance for tech firm acquisition

Quzhou Xinan Development Co., Ltd. is proceeding with a share issuance to acquire a 95.4559% stake in Guangfu Diangu Technology Co., Ltd. from 48 shareholders. Concurrently, the company plans to issue shares to no more than 35 specific investors to raise supporting funds. The transaction is projected to be a related-party transaction and is not expected to constitute a major asset restructuring or a back-door listing based on preliminary unaudited financial data.

The company held its 15th meeting of the 12th Board of Directors and the 5th meeting of the 12th Supervisory Board on August 12, 2025, where the proposal for the share issuance and related-party transaction was approved. Further details were published on the Shanghai Stock Exchange website on August 13, 2025.

As of the latest announcement on September 13, 2025, audit and due diligence work related to the transaction is ongoing. Final approval by the Board of Directors, shareholders, and regulatory bodies is pending, and the timing of these approvals remains uncertain. Investors are advised to review the previously disclosed preliminary plan for potential risks.