Wedge Industrial (000534.SZ) plans to jointly invest with Qingdao Honghua to establish an industrial acquisition fund.

Wedge Industrial (000534.SZ) announced that in order to fully leverage the company's technical advantages in the aerospace engine and gas turbine industries (referred to as the "two engines"), and to expand its industrial chain capabilities, enhance business levels, and improve operating performance, the company plans to sign a cooperation agreement with Qingdao Honghua Private Equity Fund Management Co., Ltd. (referred to as "Qingdao Honghua") to establish an industrial merger and acquisition fund. The total subscribed capital of the merger and acquisition fund is 1 billion RMB, with the company as a limited partner subscribing 500 million RMB, accounting for 50.00% of the total subscribed capital of the partnership; Qingdao Honghua as a general partner subscribing 1 million RMB, accounting for 0.10% of the total subscribed capital of the partnership; Qingdao Honghua designated investment entity subscribing 4.99 billion RMB, accounting for 49.90% of the total subscribed capital of the partnership. The company will jointly participate in the investment and establishment of the fund with professional institutions, fully leveraging the professional capabilities and resource advantages of all parties, achieving capital appreciation through project investments, serving the company's long-term strategic development goals, and enhancing the company's overall competitiveness. At the same time, through the company's control of the assets to be acquired through mergers and acquisitions, the company can help expand its industrial chain capabilities, enhance business levels, improve operating performance, and create more value for the company and its shareholders.