A-share company Zhejiang Narada Power Source Co., Ltd. (300068), with a market cap exceeding 10 billion yuan, is planning a change in its controlling stake.
On December 11, the company announced that it received notifications from its controlling shareholders—Hangzhou Narada Power Source Co., Ltd., Shanghai Yidu Industrial Co., Ltd., and Shanghai Narada Group Co., Ltd.—regarding ongoing discussions about a potential change in control and the sale of equity in its recycled lead business segment.
Trading of the company's shares will be suspended starting December 12 (Friday), with the halt expected to last no more than two trading days.
Narada Power clarified that no formal agreements have been signed yet, and specific transaction terms, including the deal structure and agreements, are still under negotiation. Final details will depend on the executed contracts.
The company has long focused on energy storage technology and product development, offering lithium-ion batteries, lead-acid batteries, hydrogen energy equipment, and recycled lithium/lead products. However, since initiating its "shift from lead to lithium" strategy in 2020, its financial performance has struggled. In 2024, it reported a net loss of 1.497 billion yuan, the largest since its listing.
In 2025, financial pressures persisted: revenue for the first three quarters fell 24.8% year-on-year to 5.911 billion yuan, while net losses widened 189.22% to 220 million yuan. The company attributed this to reduced output in its recycled resources segment amid strategic adjustments.
Additionally, its debt burden remains significant. By Q3 2025, its debt-to-asset ratio rose to 79.01% from 68.53% in 2022. With cash reserves of 1.864 billion yuan against short-term borrowings and current liabilities totaling 6.349 billion yuan, the liquidity gap exceeds 4.4 billion yuan.
On December 11, Narada Power's shares surged as much as 14% intraday before closing up 8.69% at 18.38 yuan per share, valuing the company at 16.51 billion yuan.
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