Harson Trading (China) Co., Ltd. (603958.SH) intends to issue new shares to acquire 100% equity of Chen Ling optical and 45% equity of Suzhou Langkes starting on December 26th, and will resume trading.

Harson Trading (China) Co., Ltd. (603958.SH) disclosed the pre-disclosure of issuing shares to purchase assets and raise matching funds, as well as related transactions. The company plans to purchase a 100% stake in Chengling Optical Technology held by Shanghai Chenpan and Xia Yulong; a 45% stake in Suzhou Langkes held by shareholders Zhou Zechen, Huang Yongqiang, and Wang Yongfu, by issuing shares. At the same time, the company plans to issue shares to no more than 35 specific parties to raise matching funds. Currently, the transaction price of the target assets has not been determined, and the number of shares to be issued to the counterparty in this transaction has not been determined. The issuance price for the purchase of assets by issuing shares is determined to be RMB 9.12 per share. The total amount of matching funds to be raised in this plan shall not exceed 100% of the transaction price of the assets to be purchased by issuing shares in this transaction, and the number of shares to be issued shall not exceed 30% of the total share capital before this transaction. The pricing basis date for the issuance of shares for raising matching funds is the first day of the issuance period to specific parties, and the issuance price shall not be lower than 80% of the average trading price of the company's stock for the 20 trading days before the pricing basis date. Before this transaction, the listed company mainly operated the brand operation, product design, and sales of mid-to-high-end leather shoes, and had begun to develop, produce, and sell precision metal structural components and related equipment, initially realizing an industrial layout in the consumer electronics and new energy fields. After this transaction is completed, the listed company will acquire 100% of Chengling Optical Technology and 45% of Suzhou Langkes. In this transaction, the target company Chengling Optical Technology is a provider of smart factory solutions with an industrial software platform and vision inspection system as its core, mainly applied in the consumer electronics and new energy fields. The other target company, Suzhou Langkes, is a holding subsidiary of the listed company with 55% of its equity, mainly engaged in the research, production, and sales of precision metal structural components, providing precision structural components and other products to consumer electronics customers with good profitability. It is reported that by integrating Chengling Optical Technology into the consolidated scope of the listed company, the company will expand its business to include the research, design, assembly, and sales of intelligent manufacturing production lines, the research, production, and sales of intelligent testing equipment, and the development, sales, and technical services of related software, significantly enhancing its technological strength and improving its business layout in consumer electronics and new energy. As for another part of this transaction, the company will gain control of 100% of the equity in Suzhou Langkes, increasing the net profit and net assets attributable to the shareholders of the parent company, and consolidating high-quality assets. In addition, the company's stock will resume trading on Thursday, December 26, 2024.