Shenzhen Megmeet Electrical (002851.SZ) plans to acquire a 46.3% equity stake in its subsidiary Shenzhen Welding for 664 million yuan.

Shenzhen Megmeet Electrical (002851.SZ) announced that the company plans to acquire a 46.3% equity stake in its controlled subsidiary Shenzhen Megmeet Electrical Welding Technology Co., Ltd. ("Shenzhen Welding") for 664 million yuan in cash using its own funds. The transaction includes a performance commitment, with the commitment period spanning 2026-2028. During the performance commitment period, Shenzhen Welding's cumulative net profit attributable to the parent company after deducting non-recurring gains and losses shall be no less than 405 million yuan. Upon completion of the transaction, the target company will become a wholly-owned subsidiary of the company, which will help the company further strengthen its control over important subsidiaries and improve operational efficiency.