Four A-Share Companies Announce Restructuring at Once! China Rare Earth to Suspend Trading After 462% Profit Surge, Plans to Acquire Operator of "World's Second-Largest Producing Light Rare Earth Deposit"

On October 30, four A-share companies collectively released asset restructuring announcements.

China Rare Earth Resources And Technology Co.,Ltd. (000831) announced that its controlling shareholder, China Rare Earth Group, sent a notice regarding the planning of a major asset restructuring, proposing that the listed company acquire equity in Zhongxi (Liangshan) Rare Earth Co., Ltd. through the issuance of shares, along with raising supporting funds.

The transaction is expected to constitute a major asset restructuring and a related-party transaction, but will not constitute a reverse takeover. China Rare Earth Resources And Technology Co.,Ltd. (000831) will suspend trading from the market open on November 2 (Monday), with the transaction plan expected to be disclosed no later than November 16. If disclosure is not made by that deadline, the company's shares will resume trading no later than the market open on November 16 and the restructuring planning will be terminated, with a commitment not to plan any major asset restructuring for at least one month.

Public information shows that the target company, Zhongxi Liangshan, was established in August 2008 with a registered capital of 1.5 billion yuan. It exclusively operates the Maoniuping rare earth mine in Mianning County, Sichuan Province, which is the world's second-largest producing light rare earth deposit after Bayan Obo.

Currently, China Rare Earth Group holds 51% of Zhongxi Liangshan, Sichuan Shuyu Mining Investment Co., Ltd. holds 39%, and Mianning County Investment Development Co., Ltd. holds 10%. A nonferrous metals industry analyst commented: "This round of asset restructuring is a continuation of China Rare Earth Group's specialized integration. Once the injection is completed, the listed company's resource scale will expand significantly, and its production capacity layout will extend to the Liangshan production area in Sichuan. Combined with the ongoing optimization of supply and demand in the rare earth industry and the steady rise in downstream demand from new energy and permanent magnet motors, the dual expansion of resources and production capacity will continuously open up long-term growth space for the company."

Ahead of the restructuring news, China Rare Earth Resources And Technology Co.,Ltd. (000831) disclosed its 2026 third-quarter report. The company achieved operating revenue of 2.657 billion yuan in the first three quarters, up 6.52% year-on-year, and net profit attributable to shareholders of 408 million yuan, surging 112.37% year-on-year, with third-quarter net profit attributable to shareholders up 461.7% year-on-year.

On October 30, China Rare Earth Resources And Technology Co.,Ltd. (000831) closed at 47.59 yuan, down 3.11%, with a total market capitalization of 50.503 billion yuan.

On the same evening, TCL Zhonghuan (002129.SZ) announced it is planning to acquire assets through the issuance of shares in a related-party transaction. The target is all or part of the remaining minority equity in Zhonghuan Advanced Semiconductor Technology Co., Ltd. not already held by the listed company, and the deal is expected to constitute a major asset restructuring. Its shares will likewise be suspended from trading from the market open on November 2.

Zhonghuan Advanced was established in December 2017 with a registered capital of 5.394 billion yuan, and its business scope covers the research, development, manufacturing, and sales of semiconductor materials and devices. On that day, TCL Zhonghuan closed at 9.38 yuan, up 1.96%, with a total market capitalization of 37.893 billion yuan.

In addition, Shennan Power A (000037.SZ) announced plans to acquire no less than 51% and no more than 70% of the equity in Tianhe Tracking held by Tianhe Technology through cash payment. Upon completion of the transaction, Tianhe Tracking will become a controlled subsidiary of the company and be included in the company's consolidated financial statements.

*ST Shida announced plans to acquire equity in Kaite Technology through cash, with funds mainly sourced from its own or self-raised capital. Upon completion of the transaction, the company will become the controlling shareholder of Kaite Technology with a shareholding ratio of no less than 51%.