Micro Company is planning to acquire a controlling stake in Hangzhou Zhonggui Electronic Technology Co., Ltd. to enhance its semiconductor production capabilities.

Target Information

On December 18, Xinkai Mobile announced its deep involvement in China's low Earth orbit satellite internet verification and network construction. The company, focusing on an "integrated space-ground-air" strategy, boasts a range of products and services including satellite base stations, phased array antennas, ground stations, dedicated terminals, core networks, network management, and testing instruments. Xinkai Mobile is recognized as a pioneer and significant player in China's satellite internet industry.

Meanwhile, Micro Company (688012) has announced plans to acquire a controlling stake in Hangzhou Zhonggui Electronic Technology Co., Ltd. (referred to as "Zhonggui") through a share issuance, with additional fundraising efforts alongside the acquisition. The asset valuation and pricing of this transaction are yet to be determined. Early estimates indicate this deal does not constitute a significant asset restructuring. Micro Company's primary products include plasma etching and thin-film deposition equipment, both critical in semiconductor fabrication.

Industry Overview

The satellite internet industry in China is rapidly developing, fueled by the increasing demand for high-speed internet access in remote and underserved areas. With government initiatives supporting the expansion of satellite communi