301309, Planning for Additional Issuance and Acquisition! Trading Halt Effective Immediately

Windcare (301309) announced on the evening of March 23 that the company is planning to purchase 100% equity of Jiangsu Zengrui Zhi Control Technology Co., Ltd. (hereinafter referred to as “Zengrui Zhi Control”) through issuing shares and paying cash. At the same time, it plans to raise supporting funds. The company’s stock will be suspended from trading starting March 24, and the transaction plan is expected to be disclosed within no more than 10 trading days. The disclosure of information or resumption of trading will be completed by April 8 at the latest.

The preliminary transaction counterparties are the shareholders of the target company: Suzhou Orlando Precision Manufacturing Co., Ltd., Li Ronghu, Suzhou Chenrong Intelligent Technology Co., Ltd., and Suzhou Wuzhong Jichuang Investment Partnership (Limited Partnership). Currently, Windcare has signed a “Share Purchase Intent Letter” with the main transaction parties, reaching a preliminary acquisition intention. Details such as the transaction price, payment method, and the number of shares transferred will be further negotiated, with the final terms subject to a formal transaction agreement.

Windcare’s main business involves the design, development, production, and sales of plumbing fixtures, mainly including various copper plumbing valves and fittings. Its current business primarily focuses on export trade, supplemented by domestic sales, with exports mainly to the United States and Europe.

Windcare was listed on the ChiNext Board in 2022, with a latest market value of 3.7 billion yuan. In the first three quarters of 2025, Windcare achieved operating revenue of 616 million yuan, a decrease of 16.85% year-on-year, and net profit attributable to the parent of 84 million yuan, down 27.8% year-on-year. The listed company stated that during the reporting period, trade policy uncertainties brought certain impacts to the industry, accelerating the transfer and integration of the industrial chain. The company’s export business was temporarily affected by external environmental changes.

The target company of this acquisition, Zengrui Zhi Control, was established in 2019. Its main business involves the research, development, production, and sales of precision machinery equipment, mechanical parts, automation equipment, molds, and electronic components, focusing on automotive and medical parts.

On March 23, Windcare’s stock opened high and continued to rise, increasing by 12.7% during the day, closing at 36.91 yuan per share, with the intraday stock price reaching a new historical high.