HMT Xiamen plans asset acquisition, capital raise

HMT (Xiamen) New Technical Materials Co., Ltd. (HMT Xiamen) has announced a significant asset purchase and related party transaction. This involves issuing shares and paying cash to acquire equity stakes in several Shenzhen-based technology firms. The acquisitions include 9.93% of Shenzhen Fuchuang Superior Technology Co., Ltd., 100% of Shenzhen Yinrui Technology Co., Ltd., and 100% of Shenzhen Fuchuang Superior No. 1, No. 2, and No. 3 Enterprise Management Partnerships (Limited Partnership). HMT Xiamen will also raise supporting funds through a private placement to Dongyang Huasheng Enterprise Management Partnership (Limited Partnership).

The self-inspection period for insider trading ran from November 21, 2024, to September 29, 2025. During this time, certain insiders and their direct relatives engaged in transactions involving HMT Xiamen shares and convertible bonds. HMT Xiamen itself conducted share repurchases as part of a previously announced plan for equity incentives or employee stock ownership plans, with non-trading transfers to the 2024 employee stock ownership plan. These activities were confirmed not to involve the use of inside information.

Legal and financial advisors, including Beijing Kangda Law Firm and Shengang Securities Co., Ltd., conducted due diligence on insider trading during the self-inspection period. Their findings indicate that the disclosed transactions by insiders and related parties do not constitute insider trading, based on the veracity and completeness of self-inspection reports and adherence to legal commitments. All parties involved have committed to refraining from future insider trading.