Xiamen Hongxin Electronics Subsidiary Secures 500 Million Yuan Capital Injection
Xiamen Hongxin Electronics Technology (SHE:300657) said a subsidiary agreed to have a new shareholder through a capital increase and share expansion at a pre-investment valuation of 3 billion yuan, according to a Shenzhen bourse filing on Thursday.Wuxi Xinwu District Kechanyuan Zhi Investment Partnership (Limited Partnership) will acquire 14.3% of the company's indirectly owned subsidiary, Wuxi Suihong Huachuang Technology, by contributing 500 million yuan into its registered capital.Wuxi Xinwu will become the core operation, research and development, and settlement center for Wuxi Suihong's artificial intelligence computing cluster and computing service business.After the transaction, Jiangsu Suihong Huachuang Technology, a unit of the company, will trim its holdings in Wuxi Suihong to 85.71% from 100%.The Chinese flexible printed circuit board manufacturer's shares rose 2% during the afternoon trade.
