Guangdong Hec Technology Holding Co., Ltd. (600673.SH), after announcing its acquisition of Qinwen Data for 28 billion yuan, revealed on May 6 that it has secured a computing power service contract valued up to 19 billion yuan. The company stated its subsidiary Dongguan Dongyangguan Yunzhisuan Technology Co., Ltd. signed a framework agreement with an undisclosed Company A, with the total contract amount estimated between 16 billion and 19 billion yuan (tax inclusive) over a 60-month term following equipment acceptance.
The company emphasized this contract locks in stable long-term revenue for its computing power division and represents a key milestone in strengthening its competitiveness in intelligent computing services. Following the announcement, Guangdong Hec Technology's shares rose by the daily limit for two consecutive days, reaching a market capitalization of 128.9 billion yuan by May 7.
However, market observers raised multiple concerns regarding the deal. First, the corporate structure appears questionable: why would the company assign a 19-billion-yuan contract to a newly established subsidiary with no operational history instead of utilizing the recently acquired Qinwen Data? This arrangement recalls concerns similar to the Hainan Huatie project's previous failures. Second, financial pressure is significant: with a debt-to-asset ratio exceeding 66% and thin profit margins, the company must fully fund billions in server purchases upfront while facing a five-year repayment cycle. If financing obstacles cause delivery delays, the client can terminate the contract without liability. Third, contract terms are stringent: the company bears all risks, including a 20% penalty for minor failures, while the client provides no deposit or advance payment, making违约成本 minimal.
In response to inquiries, Guangdong Hec Technology's board secretary office emphasized the order is already effective and dismissed comparisons to Hainan Huatie. Regarding funding sources for the Qinwen Data acquisition and the new contract, the company indicated it would utilize自有资金, financial institution financing, and secondary market fundraising.
Chen Yanyi, Director of the Brand and IP Committee at the Influence Research Institute, noted that although Guangdong Hec Technology is making a 19-billion-yuan computing power investment, it can decompose single信用风险 into multiple layers—equipment,收益权, and operational capabilities—attracting capital with different risk appetites.
The contract stipulates that Dongguan Dongyangguan Yunzhisuan must procure and deploy high-performance servers, conduct testing and benchmarking, and provide full-cycle maintenance after Company A's acceptance. Payment will be made monthly based on computing resource usage. However, fees will only be billed after Company A confirms successful delivery, inspection, and acceptance. If performance benchmarks or hardware compliance issues lead to failed acceptance, Company A can terminate orders or the entire contract without liability, potentially leaving Guangdong Hec Technology with unrecoverable investments.
The company stated it has implemented risk control measures, including comprehensive due diligence on the partner, phased investment aligned with monthly验收 and payment milestones, and close coordination with the client to minimize disputes. Notably, the subsidiary signing the contract was established less than one month prior, on April 15, 2026, with registered capital of 100 million yuan.
Guangdong Hec Technology's core businesses include electronic components, chemical new materials, high-end aluminum foil, energy materials, liquid cooling technology, and embodied AI. Since 2019, however, the company has faced sluggish revenue and declining net profits, with losses recorded in 2023. In 2025, revenue reached 14.9 billion yuan, but net profit fell 26.54% year-on-year to 275 million yuan, with a fourth-quarter loss offsetting earlier profits. Excluding one-time items, first-quarter 2026 net profit rose 22.5% to 352 million yuan, mainly driven by improved supply-demand dynamics in the refrigerant sector.
In September 2025, Guangdong Hec Technology's parent company, Shenzhen Dongyangguan Industrial Development, led the acquisition of Qinwen Data's China operations—a leading hyperscale computing infrastructure operator in Asia and a core supplier to ByteDance. To facilitate the acquisition, a special purpose vehicle, Yichang Dongshu Yihao Investment Co., Ltd., was established with initial registered capital of just 200,000 yuan. Guangdong Hec Technology invested 3.45 billion yuan for a 30% stake. The 28-billion-yuan deal closed on January 16, 2026, becoming one of Asia's largest computing infrastructure acquisitions.
By February 5, 2026, Dongshu Yihao's shareholder structure expanded to 19 entities, including six state-owned investors, two listed companies (Guangdong Hec Technology and Zhongfu Straits (Pingtan) Development Company Limited (000592.SZ)), and 11 private equity firms—among them Shanghai Yunfeng New Venture Capital, co-founded by Jack Ma. This diversification made Dongshu Yihao effectively controller-less, complicating Guangdong Hec Technology's potential future takeover.
According to Shen Meng, Director of Chanson & Co., using私募基金 platforms allows higher leverage and reduces capital occupancy. With the AI boom, data centers offer stable cash flow and attract investment. On May 5, 2026, Guangdong Hec Technology announced it is progressing to acquire 70% of Dongshu Yihao, which would enable consolidation of Qinwen Data's financials.
Lin Xianping warned that Dongshu Yihao's multi-layer SPV structure, with 19 shareholders, resembles disguised debt. While it temporarily keeps liabilities off the balance sheet, fixed回报 demands from investors create hidden debts. If Guangdong Hec Technology later buys the remaining equity,表外债务 would consolidate, potentially triggering a liquidity crisis.
Funding remains a critical challenge. The company disclosed that fulfilling the computing power contract requires significant upfront investment in servers, potentially leading to substantial financial costs. As of end-2025, interest-bearing debt stood at 15.5 billion yuan, with short-term debt exceeding cash reserves. Despite earlier investment losses, the company announced plans on April 10, 2026, to use up to 800 million yuan in idle funds for wealth management products, aiming to enhance capital efficiency.
Meanwhile, guarantee amounts continue to rise. In first-quarter 2026, new guarantees totaled 3.4 billion yuan, with outstanding guarantees reaching 12.9 billion yuan—exceeding 100% of audited net assets.
For the Qinwen Data acquisition, most funds came from并购贷款 and shareholder injections. By January 2026, Guangdong Hec Technology had contributed 3.45 billion yuan to Dongshu Yihao, while the special purpose vehicle completed the 28-billion-yuan payment.
Chen Yanyi noted that computing power leasing involves a structural mismatch: heavy asset investment precedes light-asset回收. Besides bank loans, companies can use融资租赁, issue ABS/REITs against long-term contracts, form industry funds with government and cloud providers, or leverage vendor financing to reduce upfront pressure.
Within six months, Guangdong Hec Technology has undertaken two massive ventures: a 28-billion-yuan acquisition and a 19-billion-yuan computing power contract. For 39-year-old Zhang Yushuai, controlling shareholder and Dongguan's richest person, the real test lies in managing hundreds of billions in leveraged investments while ensuring operational execution.
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