Shenzhen Stock Exchange (SZSE) has terminated the review of Lingyi Itech (Guangdong) Company's (002600.SZ) major asset restructuring plan involving convertible bonds and fundraising.
In an announcement after market close on November 13, Lingyi Itech disclosed that SZSE issued a decision to halt the review of its application to issue convertible bonds for asset acquisition and supplementary fundraising.
The exchange had accepted the application on June 6, 2025, and conducted a regulatory review. However, Lingyi Itech later submitted a withdrawal request for the convertible bond issuance and cash payment acquisition plan, followed by a similar withdrawal request from its financial advisor, Guotai Haitong Securities.
Under Article 52 of SZSE's Major Asset Restructuring Review Rules, the exchange formally terminated the review process.
Originally, Lingyi Itech planned to acquire a 66.46% stake in Jiangsu Keda from eight sellers, including Changzhou Yourong Automotive Technology, through convertible bond issuance and cash payment, while raising supplementary funds from up to 35 specific investors.
After negotiations, the company adjusted the transaction terms to maintain the sellers and control of Jiangsu Keda, switching to an all-cash payment structure. The revised plan no longer involves convertible bonds or fundraising, thus no longer qualifying as a major asset restructuring.
Lingyi Itech's shares closed at CNY 13.99 on November 13, with a market capitalization of CNY 102.2 billion.
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