On September 12, Topstar Technology (300607.SZ) announced that the company holds 48.71% of the equity of its wholly-owned subsidiary, Dongguan Efmi Numerical Control Equipment Technology Co., Ltd. (hereinafter referred to as 'Efmi' or 'the target company'). In order to optimize the governance structure of the subsidiary and improve operational decision-making efficiency, the company, together with Mr. Huang Yongsheng, a natural person shareholder of Efmi, jointly acquired 11.89% of the equity held by Mr. Yu Xuelin, another natural person shareholder of Efmi (corresponding to a subscribed capital of RMB 4.222356 million, which has been fully paid). Among them, the company used its own funds of RMB 19.56 million to acquire 4.89% of the equity held by Yu Xuelin and waived its preemptive right to the remaining 7% equity; Mr. Huang Yongsheng used his own funds of RMB 28 million to acquire 7% of the equity held by Yu Xuelin; other shareholders of Efmi have waived their preemptive right in accordance with relevant laws and regulations and the Articles of Association of Dongguan Efmi Numerical Control Equipment Technology Co., Ltd. After the completion of this transaction, the company's equity stake in Efmi increased from 48.71% to 53.60%, and Efmi remains a subsidiary controlled by the company.