Shenzhen Gongjin Electronics (603118.SH) plans to increase capital of 50 million yuan to Beijing Hongguangxiang Technology Co., Ltd.

Shenzhen Gongjin Electronics (603118.SH) announced that it plans to increase its investment in Beijing Hongguang Xiangshang Technology Co., Ltd. (referred to as "Hongguang Xiangshang" or "target company"), a high-tech enterprise specializing in the design of new generation silicon-based optoelectronic integrated circuits, with its own funds of 50 million yuan. Of this amount, 100.1440 million yuan will be included in the new registered capital, and the remaining investment of 4,899.8560 million yuan will be included in the capital reserve, with a total transaction amount of 50 million yuan. Prior to this transaction, the company did not hold any equity in Hongguang Xiangshang. After the transaction is completed, the company will hold 7.0621% of the equity in Hongguang Xiangshang, and this transaction does not involve any changes in the scope of consolidated financial statements. The target company of this capital increase, Hongguang Xiangshang, is a high-tech enterprise specializing in the design of new generation silicon-based optoelectronic integrated circuits. The company has a team of excellent experts in the silicon optoelectronic field, has accumulated a complete supply chain for silicon photonics chip product design, foundry, and packaging testing, and has broad development prospects. At the same time, the signing of the shareholder agreement and the capital increase agreement is conducive to further deepening the cooperation between the company and Hongguang Xiangshang, enhancing the market competitiveness of the company's products, and promoting the company's long-term and sustainable development.