Shanghai Bright Power Semiconductor Co., Ltd.'s third quarter financial report shows that revenue reached 0.353 billion yuan, a year-on-year increase of 17.51%, with a net loss of -23.79 million yuan attributable to the mother; Shanghai Bright Power Semiconductor Co., Ltd. also announced plans to acquire the controlling rights of Sichuan Yichong through the issuance of shares, issuance of targeted convertible corporate bonds, and cash payment, while planning to raise supporting funds.
Another semiconductor merger in the Science and Technology Innovation Board Daily on October 21.
Tonight (October 21), Shanghai Bright Power Semiconductor Co., Ltd. released the third quarter financial report for 2024, announced a major asset restructuring, and announced a trading halt.
Intends to acquire the target Sichuan Yichong, which has undergone 15 rounds of financing.
As a veteran analog chip manufacturer, Shanghai Bright Power Semiconductor Co., Ltd. has enriched its product line through internal and external expansion, which has been an important global strategy for seizing market opportunities in recent years.
Just tonight (October 21), Shanghai Bright Power Semiconductor Co., Ltd. announced plans to acquire the controlling rights of Sichuan Yichong Technology Co., Ltd. (referred to as 'Sichuan Yichong') through the issuance of shares, issuance of targeted convertible corporate bonds, and cash payment, while planning to raise supporting funds.
Based on preliminary calculations, this transaction is expected to constitute a major asset restructuring as stipulated in the 'Measures for the Administration of Major Asset Restructuring of Listed Companies'. Shanghai Bright Power Semiconductor Co., Ltd. announced that it will be suspended from trading from tomorrow (i.e., October 22), with an expected suspension period of no more than 5 trading days.
The specific transaction method, transaction plan, and other details of this transaction have not yet been disclosed. The announcement shows that the transaction counterparty includes the top three shareholders of the target Sichuan Yichong, who have signed an "Equity Acquisition Intention Agreement" today.
Sichuan Yichong was established in February 2016, headquartered in Sichuan, is a wireless charging chip and solution service provider, with main products being wireless charging chips and smart hardware. According to reports, the founding team of the company is mainly composed of Tsinghua University alumni, with the core team coming from international manufacturers in Europe and America.
Among them, Pan Siming, Chairman and General Manager of Sichuan Yichong, is a post-85 entrepreneur, graduated from Tsinghua University, and obtained his master's and doctoral degrees from Missouri University of Science and Technology. He is a senior member of the IEEE and a national youth specially-appointed expert, specializing in electrical power design, electromagnetic compatibility, and high-speed system design. He has previously worked at Cisco, Apple, and other companies.
Sichuan Yichong's main clients include well-known enterprises from Europe, America, Japan, South Korea, and China. Its wireless charging solutions have been adopted by companies such as Toyota, Google, Microsoft, Sony, Zebo, and Haier.
In the consumer sector, Sichuan Yichong's products have been shipped extensively to major global clients; in the automotive grade sector, multiple products had achieved automotive grade certification as early as 2022, being introduced into multiple models, and synchronously developing new high-end products with car manufacturers and Tier 1 companies.
Data from Cailianchuang Venture Capital Platform shows that from 2016 to the present, Sichuan Yichong has completed 15 rounds of financing. The F+ round of financing completed at the end of 2023 included investors such as Shen Venture Capital, Weihao Chipping, Jianxin Investment, Shenzhen Capital, Geely Holdings; while the F round of financing completed in mid-2023, gathered capital from SAIC Motor Corporation, Shangqi Capital, Zhongjin Capital, Nio Capital, among other capital sources.
Shanghai Bright Power Semiconductor Co., Ltd. stated that the transaction is currently in the planning stage, with the formal transaction agreement not yet signed by all parties. The specific transaction plan is still under discussion and verification, with significant uncertainties. At the same time, this transaction still needs to be approved by the company's board of directors, shareholders' meeting, and regulatory authorities.
Net income loss expanded compared to the previous period.
Shanghai Bright Power Semiconductor Co., Ltd. has had previous merger and acquisition cases.
In April 2023, Shanghai Bright Power Semiconductor Co., Ltd. completed the acquisition of 61.61% equity of Nanjing Lingou Chuangxin. It is understood that Lingou Chuangxin focuses on the electric machine control field, with its core product being MCU, targeting end markets such as electric vehicles, household appliances, and industrial control. Through the acquisition of Lingou Chuangxin, Shanghai Bright Power Semiconductor Co., Ltd. has expanded its technical capabilities in the electric machine control chip field and broadened its product portfolio.
The financial report disclosed by Shanghai Bright Power Semiconductor Co., Ltd. shows that in the third quarter of this year, the company's sales revenue from electric machine control driver chips was 0.076 billion yuan, accounting for 21.53% of total revenue. In addition, there was a share-based payment expense of 0.014 billion yuan in Q3, which had a certain impact on the net profit data for the third quarter. At the same time, in the third quarter of last year, the company reversed a share-based payment expense of 0.176 billion yuan due to the expectation of failing to meet performance evaluation criteria.
In terms of gross margin, Shanghai Bright Power Semiconductor Co., Ltd.'s comprehensive gross margin of main business products in Q3 was 37.52%, up 13.58 percentage points from the same period last year. Shanghai Bright Power Semiconductor Co., Ltd. stated that the increase in gross margin is due to mature market product technology iterations, an increase in the proportion of high gross margin 'second curve' income, and multiple factors such as a decrease in supply chain costs.
Looking at the products, in the third quarter of this year, Shanghai Bright Power Semiconductor Co., Ltd. achieved sales revenue of 0.199 billion yuan for LED lighting power chips, 0.064 billion yuan for AC/DC power chips, 0.076 billion yuan for electric machine control driver chips, and 0.014 billion yuan for DC/DC power chips.
Shanghai Bright Power Semiconductor Co., Ltd. expressed that while the company is consolidating its market share in LED lighting power chip market, it is also actively developing the second growth curve, continuously enhancing the proportion of AC/DC power chips, electric machine control driver chips in the overall business; meanwhile, based on the successful mass production of the 40V BCD process platform, gradually increasing the sales revenue of DC/DC power chips.
In September of this year, during an institutional research, Shanghai Bright Power Semiconductor Co., Ltd. mentioned that the main reasons for the price reduction of lighting products this year are the lower-than-expected recovery of market prosperity, changes in industry competitive landscape, and other factors. Overall, related product prices follow the market, and future trends will continue to be affected by fluctuations in market supply and demand relationships, as well as considerations of certain production costs and profit margins.
Shanghai Bright Power Semiconductor Co., Ltd.'s AC/DC power chip products have successively made breakthroughs in various subdivided markets, are in a phase of rapid volume increase, and have achieved breakthroughs or progress in the power segment products of major household appliance brands, small appliance customers, and domestic brand mobile phone manufacturers in the first half of this year. In addition, its DC/DC power chip products have entered the market promotion stage, currently obtaining certifications from two well-known foreign main chip manufacturers and multiple domestic main chip manufacturers, achieving mass production in areas such as AIC, PC, servers.
The third-quarter financial report of Shanghai Bright Power Semiconductor Co., Ltd. shows that the company achieved a revenue of 0.353 billion yuan in Q3, an increase of 17.51% year-on-year, but a slight decrease from the 0.416 billion yuan in Q2; as for the net profit attributable to the parent company, in the third quarter it was -23.79 million yuan, turning from profit to loss compared to the same period last year, a decrease of 143.82%, and the loss expanded compared to the second quarter of this year.
