KINGSOFT CLOUD (03896) plans to acquire 20% stake in Shenzhen Wangxin Technology Co., Ltd. for 50 million yuan.

KINGSOFT CLOUD (03896) announced that on March 3, 2026, Thunder and its subsidiary, Wuhan KINGSOFT CLOUD, and Xinghan Zhilian signed a stock transfer agreement. According to this agreement, Thunder will (1) transfer its 20% stake in the target company, Shenzhen Wangxin Technology Co., Ltd., to Wuhan KINGSOFT CLOUD for a price of RMB 50 million (including tax); and (2) transfer its 30% stake in the target company to Xinghan Zhilian for a price of RMB 75 million (including tax). As the development of the artificial intelligence industry gradually transitions from the training stage to the reasoning stage, low-latency reasoning is expected to become the main drive to increase computing power demand. The target company, as a leading company in the edge computing field, deploys distributed nodes at the network edge to process data nearby, meet the demand for low-latency and stable computing power in artificial intelligence applications, and has certain growth potential. The Group has always been cautious in identifying investment targets with growth potential to optimize the group's capital utilization and enrich the investment portfolio. Considering the target company's future business growth potential, this acquisition represents an attractive strategic minority equity investment opportunity. This transaction is expected to be an appropriate way to share the potential growth benefits of the target company without significantly increasing the group's operational risks.