Hangzhou Steam Turbine restructuring faces uncertainties

Hangzhou Steam Turbine (SZSE:200771) announced progress on its major asset restructuring plan, involving a share swap merger with Hangzhou Hailianxun Technology. According to the statement, Hailianxun will absorb Hangzhou Steam Turbine by issuing A-shares to all of Hangzhou Steam Turbine's shareholders. After the transaction, Hangzhou Steam Turbine will delist and Hailianxun will seek listing on the Shenzhen Stock Exchange's ChiNext board. The company has coordinated with intermediaries to carry out due diligence, including visits to customers and suppliers. The restructuring requires further internal decision-making and regulatory approvals. The company cautioned that the transaction's completion remains uncertain. The company reiterated that it will continue to disclose relevant information and will issue further updates on the restructuring progress every 30 days, as per exchange requirements.