Yangzhou Yangjie Electronics Technology Co., Ltd. (300373) announced today that it has decided to terminate its cash acquisition of 100% of the shares of Dongguan Better Electronic Technology Co., Ltd. (hereinafter referred to as "Better Electronics") and the related transaction. All parties will amicably terminate the performance of relevant agreements without any liability for breach of contract.
Looking back at the transaction process, Yangzhou Yangjie initially convened a board meeting on September 10, 2025, to review and approve the relevant proposal for the cash acquisition of 100% of Better Electronics' shares, planning to acquire all shares of Better Electronics through cash payment.
The announcement stated that the direct reason for terminating the transaction came from Better Electronics. On October 23, Yangzhou Yangjie received a notice jointly signed by the major shareholders of Better Electronics regarding the termination of the transfer of shares held by them. The notice clearly indicated that during the progress of the transaction, there were significant differences between the parties in terms of business type, management style, and corporate culture, which led to considerable discrepancies in views regarding Better Electronics' future operational philosophies and management strategies. Based on this situation, the relevant shareholders of Better Electronics, after careful consideration, decided to terminate the transfer of all their shares to Yangzhou Yangjie and requested it to agree to amicably terminate the performance of the Share Transfer Agreement (hereinafter referred to as the "Transfer Agreement"), without pursuing breach of contract liability against them or other parties to the agreement.
Yangzhou Yangjie expressed that the core purpose of this transaction was to acquire 100% of Better Electronics' shares, and the decision to terminate the share transfer was made by the actual controllers and major shareholders of Better Electronics, whose decision directly thwarted the company's goal of acquiring all shares.
According to the provisions regarding the termination of the Transfer Agreement previously signed by both parties, given that the target shares had not been delivered and Yangzhou Yangjie had not paid any consideration for the share transfer, the company decided after board review to agree to the request from the relevant Better Electronics shareholders to terminate the share transfer, thereby also terminating the entire acquisition transaction, and agreeing not to claim breach of contract liability against the aforementioned shareholders.
Better Electronics specializes in power electronic protection devices. Its core products are electronic protection components that prevent equipment damage from overcurrent, overvoltage, and overheating by cutting off abnormal current through physical changes such as fusing and resistance changes, with applications in key sectors including household appliances, consumer electronics, new energy vehicles, photovoltaics, and energy storage.
Better Electronics boasts three major brands: "Better Guardian," "ADLER," and "ASTM," with a product matrix covering over 200 series and more than 9,000 specifications to meet high, medium, and low-end needs across various scenarios. Its customer list includes leading enterprises in the new energy and consumer electronics sectors, demonstrating significant market influence. Financially, Better Electronics achieved a revenue of 837 million yuan in 2024, with a net profit of 148 million yuan, maintaining a growth trend in the first quarter of 2025 (revenue of 218 million yuan and net profit of 41.13 million yuan), indicating stable profitability.
Better Electronics applied for listing on the ChiNext board in June 2023 but withdrew its application in August 2024. In terms of shareholding structure, Better Electronics has no controlling shareholder, with Han Lu and four other concerted actors collectively holding 39.35% of the shares, acting as the actual controller, thus presenting a relatively dispersed shareholding structure.
In the acquisition plan, over 20 parties representing Liu Hanhao and Han Lu collectively pledged that the net profit attributable to the parent company's shareholders after deducting non-recurring gains and losses would total no less than 555 million yuan from 2025 to 2027.
Yangzhou Yangjie previously stated that the protective components of Better Electronics serve to complement the existing power device products of the company and provide current and voltage handling services for various electrical scenarios and devices, thus possessing "excellent synergy in terminal application scenarios and representing one of the main directions for the company's future strategic development."
