Hengtong Optic-Electric (600487.SH) plans to transfer some of its shares in its subsidiary, Hengtong Huahai, to introduce more diversified capital and resource support.

Hengtong Optic-Electric (600487.SH) announced that the company, Hengtong Group Limited (referred to as "Hengtong Group"), Tianjin Tonghui Entrepreneurial Service Partnership Enterprise (Limited Partnership) (referred to as "Tianjin Tonghui"), and Suzhou Haixia Huahai Entrepreneurial Investment Partnership Enterprise (Limited Partnership) (referred to as "Haixia Capital") have each signed a "Share Transfer Agreement" to transfer a total of 63.75 million shares held by the company in its subsidiary Jiangsu Hengtong Huahai Technology Co., Ltd. (referred to as "Hengtong Huahai" or the "Target Company"), accounting for 11.7334% of Hengtong Huahai's total share capital, for a transaction amount of 985 million RMB. After the transaction is completed, the company's stake in Hengtong Huahai will decrease to 64.2634%. The partial transfer of subsidiary shares is intended to further enrich the diversity of Hengtong Huahai's shareholder structure and introduce more diversified capital and resource support for its long-term healthy development. By introducing new shareholders and increasing the shareholding of existing shareholders, the company will effectively optimize the high concentration of Hengtong Huahai's original equity, and build a more open and diverse shareholder ecosystem.