National Silicon Industry Group to acquire semiconductor subsidiaries' minority stakes for 7bn yuan

China International Capital Corporation Limited's independent financial advisor report indicates National Silicon Industry Group will acquire 46.7354% of New-rise Crystal Investment, 49.1228% of New-rise Crystal Technology, and 48.7805% of New-rise Crystal Vision. The total transaction value is 7,039,621,536.73 yuan. The acquisition will be funded through a combination of share issuance (6,715,556,526.75 yuan) and cash (324,065,009.98 yuan). Concurrently, the company plans to raise up to 2,105,000,000.00 yuan in supporting funds through a private placement to no more than 35 specific investors. These funds will be allocated to supplement working capital (1,750,000,000.00 yuan) and cover cash consideration for the acquisition and intermediary fees (35,500,000.00 yuan).

The transaction, which constitutes a major asset restructuring and related party transaction, received approval from the Shanghai Stock Exchange's M&A and Restructuring Review Committee on September 12, 2025. It aligns with national industrial policies supporting M&A for strengthening public companies, particularly in the semiconductor sector. Following the acquisition, National Silicon Industry Group will hold 100% of the three target companies, enhancing control, optimizing resource allocation, and leveraging synergies within its 300mm silicon wafer business.

The valuation of New-rise Crystal Investment's equity is 3,961,808,300.00 yuan, New-rise Crystal Technology's is 7,768,000,000.00 yuan, and New-rise Crystal Vision's is 2,813,000,000.00 yuan, all based on a December 31, 2024, valuation reference date. While the target companies are currently unprofitable, the acquisition is expected to improve asset quality and long-term operating capabilities. The shares issued for the acquisition will be subject to a 36-month lock-up period, and supporting fund shares will have a 6-month lock-up.