Haining China Leather Market Co.,Ltd. (SZSE: 002344, share price 3.89 yuan, market cap 4.989 billion yuan) announced on August 12 that its wholly-owned subsidiary, Haining China Leather Market New Energy Development Co., Ltd. (referred to as the New Energy Company), plans to acquire 100% equity of 38 target photovoltaic companies for approximately 226 million yuan. The relevant equity transfer agreement was signed on August 11.
The primary business of these acquisition targets is solar photovoltaic power generation, with projects that are mature and connected to the grid with stable operations, having an average remaining operational cycle of about 20 years. This transaction does not constitute a related-party transaction or a major asset reorganization.
According to the announcement, to meet business development needs, the New Energy Company intends to purchase equity from Zhejiang Shengmao New Energy Technology Co., Ltd. (referred to as Zhejiang Shengmao), Haining Juhui New Energy Co., Ltd. (referred to as Haining Juhui), and Haining Xinjie New Energy Technology Co., Ltd. (referred to as Haining Xinjie), encompassing 38 target photovoltaic companies. Haining Juhui and Haining Xinjie are both wholly-owned subsidiaries of Zhejiang Shengmao. The target companies, whose main business is solar photovoltaic power generation, are located in Zhejiang, Jiangsu, Anhui, and Hubei provinces.
In terms of pricing, Tianyuan Asset Appraisal Co., Ltd. used November 30, 2025, as the base date and employed the income method for valuation, determining the appraised value of the 38 target companies to be approximately 247 million yuan. This represents a 40.58% premium over their book value of about 176 million yuan. After negotiations, the final transaction price was set at approximately 226 million yuan. The consideration is a fixed total price, which includes the target equity, all power station assets, operating licenses, rights to revenue from connected grid electricity, and undistributed profits, with no additional charges. The payment will be made in cash, using the company's own funds or self-raised capital.
The announcement notes that the targets are concentrated in the Yangtze River Delta industrial parks, offering relatively stable and sustainable investment returns. After the transaction, the company will hold 100% equity of these 38 target companies through the New Energy Company, and they will be consolidated into the company's financial statements upon completion of equity transfer. The announcement expects the transaction to positively impact the company's current and future financial condition and operating results, boosting future business performance.
Haining China Leather Market Co.,Ltd. primarily engages in the development, leasing, and services of leather professional markets. The company builds offline B2B and B2C sales networks for leather goods and autumn-winter clothing, as well as intelligent markets integrating online and offline development. It also creates an e-commerce industry chain base offering services like e-commerce live streaming, supply, education and training, and intelligent warehousing and logistics. According to the company's 2025 annual report, property leasing and management revenue accounts for 61.58% of operating income, financial services revenue for 15.96%, and shop and ancillary property sales for 8.69%, with additional segments in health and medical services, goods sales, and hotel services.
Looking at recent performance, Wind data shows the company achieved operating revenue of 1.220 billion yuan and net profit attributable to parent of 177 million yuan in 2023; 1.037 billion yuan in revenue and 89 million yuan in net profit in 2024; and 1.021 billion yuan in revenue and 71 million yuan in net profit in 2025, with both revenue and profitability declining year-on-year. Against this backdrop, the company's move to deploy photovoltaic asset businesses through the New Energy Company is seen as a step to explore new growth drivers.
The announcement cites policy context, stating that the country is accelerating the construction of a new energy system and vigorously promoting the development of clean energy and dual-carbon industries. Leveraging its own green energy operation experience, the New Energy Company plans to expand into high-quality photovoltaic asset businesses in the Yangtze River Delta region, further developing upstream and downstream businesses like comprehensive energy services and carbon asset management, thereby strengthening the scale of the new energy segment.
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