Glonghui May 19 丨Honghui New Materials (002802.SZ) announced that the company and Suzhou Xinyue Semiconductor Co., Ltd. (“Suzhou Xinyue” for short) and all of its shareholders signed a “Letter of Intent” on January 3, 2023. The company plans to use its own capital to invest no more than 40 million yuan in Suzhou Xinyue.

After the “Letter of Intent to Invest” was signed, the company hired intermediaries to conduct due diligence and other related work on Suzhou Xinyue, and discussed investment matters with all parties concerned, but the parties concerned were unable to reach a final agreement on this investment matter and were unable to sign a formal investment agreement. In order to protect the interests of the company and investors, after careful research and friendly negotiations with all parties concerned, the company decided to terminate this investment matter.