Zhitong Financial APP News, Kingsoft Technology Industries (00040) announced that on April 6, 2022, Kingsoft Electric, an indirect wholly-owned subsidiary of GP Industries, conducted a series of on-the-floor transactions to sell a total of 9 million Sun Shengli shares (accounting for about 14.14% of the total number of issued Sun Shengli shares on the date of this announcement) at an average price of NT $23.85 per share for a total consideration of about NT $215 million.

Before the sale, Xinshengli Technology is an associate of GP Industry, and Jinshan Electric owns about 29.28% of its interests. Immediately after the sale, Kingsoft will own approximately 15.14% of the equity interest in San Shengli Technology, which is no longer and will be discontinued as an associate of GP Industries and will be used as an equity tool at fair value to be included in other comprehensive income.

As at the date of this public exchange, GP Industries is a subsidiary of the company with an interest of approximately 85.59%, and its shares are listed on the Stock Exchange of Singapore Stock Exchange.

The Board believes that the sale is a good opportunity for the Group to realise some of its non-core investments in Sunshine Technology, so as to enhance the Group's capital strength and devote more resources to its core business. The Group plans to use the net proceeds from the sale to strengthen the Group's cash flow and to repay bank loans.