Zhongyan Technology (003001.SZ) plans to acquire a 60% stake in XinhuanYu to expand into the PCB drill bit and cutting tool industry.

Zhongyan Technology (003001.SZ) announced that its board of directors has approved the "Proposal on Signing Equity Acquisition-Related Agreements." The company plans to acquire a 60% equity stake in Shenzhen XinhuanYu Zhejiang Jinggong Integration Technology Co., Ltd. ("XinhuanYu") through equity acquisition and capital increase. The counterparties include Li Kunlun, Shenzhen Weijing Investment Partnership (Limited Partnership), and Ji'an Luling Industrial Development Fund Partnership (Limited Partnership). Upon completion of the transaction, the target company will become a controlled subsidiary of the company and be included in the company's consolidated financial statements. The company stated that the PCB drill bit and cutting tool industry in which the target company operates has favorable development prospects and substantial growth potential. The company intends to make a strategic layout in the relevant field to seek new performance growth drivers and promote the company's future sustainable development.