Financial Services Association, April 29 (Reporter Fu Jing) Shenzhen Sanda A (000032.SZ), which just reversed losses last year, officially announced this evening that it plans to divest 100% of the shares and related intangible assets of CLP Digital (Beijing) Technology Co., Ltd. (hereinafter referred to as “CLP Digital Innovation”), a wholly-owned subsidiary that continues to lose money. According to a Financial Services Association reporter, in addition to improving profitability, the company's move is also aimed at optimizing the data innovation business layout. The data element engineering technology route implemented by CLP Digital Innovation is no longer the focus of this business.

According to the announcement, the company plans to transfer 100% of CLP Digital's shares and intangible assets (including 37 patents, software books and related technologies) related to data vaults, data vaults, and data element processing and trading systems based on the data component concept to CLP Data Industries Co., Ltd. (hereinafter referred to as “CLP Digital Production”), with a total transfer price of 147 million yuan, including 50 million yuan and intangible assets worth 97.696 million yuan. After the transfer is completed, the company will no longer hold CLP Digital Innovation shares and related intangible assets.

Shenzhen Sanda A said that the transaction generated a net profit of about 154 million yuan, which will have a positive impact on its overall profit.

According to the announcement, CLP Digital Innovation was founded in August 2020 with a registered capital of 50 million yuan. It is mainly engaged in the development of products such as data vaults and data vaults based on the data element engineering technology route, as well as the development of data element processing and trading systems. In addition, a CFA reporter learned that CLP Digital Innovation has launched pilot data security and factorization projects in various cities such as Zhengzhou, Deyang, and Dali. Among them, the Deyang Data Factors Industrial Park has already been put into operation.

However, after this transaction, the company will focus on core products and services related to the marketization of data elements, such as authorized operation of public data, data asset registration, and data transactions.

It is worth noting that in tonight's announcement, Shenzhen Sanda A gave an extensive introduction to the current business situation of its subsidiary China Electronics Cloud, clearly stating that “it will increase resource investment in China Electronics Cloud to ensure its leading position in data resource system construction and data operation.”

A CIFA reporter previously learned through research on Shenzhen Sanda A that the company will continue to rapidly promote public data licensing and operation this year. The China Electronic Cloud Data Innovation Application Industry Alliance currently being prepared is expected to be established within this year. The construction of data infrastructure and data operation are the top priorities of China Electronic Cloud's tasks this year. China's electronic cloud resources are deeply used in various fields such as several cities, energy, ministries, central enterprises, etc., and data resource cooperation agreements have been reached with many enterprises.

Furthermore, according to public information, China Electronics Cloud has now signed public data operation agreements with cities such as Shijiazhuang, Shenyang, Dalian, Tangshan, and Changchun; on April 7, the first public data operation scenario in Shijiazhuang was officially launched. Meanwhile, China Electronics Cloud participated in the construction of the Shenzhen Data Exchange trading commercial platform. The platform was launched on April 25.

Judging from financial performance, CLP Digital Innovation is still losing money. According to financial data, CLP Digital achieved revenue of 111 million yuan last year, operating profit of 496.77 million yuan, and net profit to mother of 49.648 million yuan. As of December 31 of last year, CLP had generated total assets of 149 million yuan.

Up to now, Shenzhen Sanda A has provided 132 million yuan in loans to CLP Digital Innovation. According to reports, CLP Digital Innovation will fully settle the listed company within 30 days after the equity transfer contract comes into effect to avoid capital occupation.

Shenzhen Sanda A said that in the early stages of incubation, CLP Digital Innovation has already invested a large amount of R&D costs. Higher R&D capital will still be needed in the future. At the same time, it lacks independent profitability, and there is uncertainty about future earnings.

Judging from the 2023 report data recently disclosed by Shenzhen Sanda A, the company achieved net profit of 330 million yuan last year, an increase of 308.10% over the previous year, to reverse losses. The quarterly report released by the company tonight also showed that Q1's net profit to mother increased by 130.15% year over year. In fact, at present, industrial services are the company's main source of performance, and this move may enhance the contribution of the digital and information services business to overall operations.

It is worth mentioning that since CLP Digital and Shenzhen Sanda A are actually controlled by China Electronic Information Industry Group Co., Ltd., this transaction constitutes a related transaction. The above matters have already been reviewed and approved by the board of directors, and there is no need to go through the shareholders' meeting.