Aerospace Hi-Tech shifts subsidiary control after general meeting

Aerospace Hi-Tech Holding Group announced its decision to waive its pre-emptive right to acquire a 10% equity stake in its subsidiary, Shandong Aerospace Jiutong Internet of Vehicles Co., Ltd. This stake, currently held by Jinan Guoxin Big Data Service Partnership, will instead be purchased by Jinan Yongye Technology Co., Ltd.

If this transaction completes, Jinan Yongye's stake in Aerospace Jiutong will increase to 48.25%, making it the largest shareholder and surpassing Aerospace Hi-Tech's 46.75%. This shift will reclassify Aerospace Jiutong from a controlled subsidiary to an associate company for Aerospace Hi-Tech, impacting consolidated financial statements with an estimated 5.42 million yuan reduction in annual profit.

In a separate but related development, Aerospace Hi-Tech's board approved the re-appointment of Grant Thornton (Zhizhong Certified Public Accountants LLP) as the financial and internal control auditor for 2025. This decision ensures continuity in audit services, with fees to be negotiated based on business scale and market rates. Fees are projected to not exceed the 2024 audit fees of 2.865 million yuan for financial audit and 0.35 million yuan for internal control audit. The board also reviewed the special audit report for Aerospace Jiutong for January-June 2025, prepared by Grant Thornton.