JLMAG (06680) has announced its intention to increase the capital of its wholly-owned subsidiary, Jl Mag Rare-Earth Co., Ltd. (Ningbo) Investment Co., Ltd., by up to RMB 30 million using its own funds. This move is designed to leverage the platform resources and investment expertise of professional institutions to actively seek out and invest in high-quality projects that align with the company's development strategy, thereby strengthening its overall competitiveness.
Following the capital increase, Jl Mag Rare-Earth Co., Ltd. will channel the newly injected funds, along with its own resources, into the Jiaxing Jinmagnetic Zhilian Venture Capital Partnership (Limited Partnership) (final name subject to industrial and commercial registration), subscribing for a total share of RMB 55 million. Upon completion of this transaction, the registered capital of the Ningbo subsidiary will rise from RMB 350 million to RMB 380 million, with Jl Mag Rare-Earth Co., Ltd. retaining full 100% ownership.
Relying on the resources and advantages accumulated in the rare earth permanent magnet materials industry chain, the company aims to further optimize its industrial layout through collaboration with professional investment institutions in industry funds. This strategic partnership is expected to promote a healthy synergy between business operations and external investments, enhance the company's competitive edge, and fully utilize the resource advantages, investment experience, and robust risk control systems of external experts.
By adopting this approach, Jl Mag Rare-Earth Co., Ltd. seeks to seize investment opportunities in a timely manner, mitigate investment risks, improve the quality of its external investments, and ultimately generate greater value for the company and its shareholders.
Comments