Quzhou Xinan Development progresses with stake acquisition

Quzhou Xinan Development (SSE:600208) is proceeding with its plan to acquire 95.4559% of Guangdong Xiandao Xicai from 48 shareholders through a share issuance. Concurrently, the company aims to raise supporting funds by issuing shares to up to 35 specific investors. The transaction's final asset valuation is pending, but preliminary unaudited financial data suggests it will not constitute a major asset restructuring or a back-door listing under current regulations, although it is expected to be a related-party transaction.

The company's board and supervisory committee approved the acquisition and related fundraising plan on August 12, 2025. This was followed by progress announcements on September 13, 2025, and October 11, 2025.

As of the latest announcement, due diligence, audit, and other related work for the transaction are still ongoing. The company will convene another board meeting to deliberate on the acquisition once these tasks are completed. The transaction is subject to further approvals, including from the company's shareholders and relevant regulatory bodies, with the timeline for finalization remaining uncertain.