275 million to acquire an energy-storage company and divest its small-appliance business! This lighting firm is embarking on a transformation journey.

On September 10, Jiu Liang Co., Ltd. disclosed a preliminary announcement regarding a major asset restructuring: the company plans to acquire no less than 51% of the equity in Shandong Haidi New Energy Technology Co., Ltd. (hereinafter referred to as “Haidi New Energy”) by paying cash, with a transaction price not exceeding RMB 275.4 million.

Prior to this transaction, the company did not hold any equity in the target company; upon completion, the company will gain controlling interest, and the target company will become a controlled subsidiary.

According to available information, Haidi New Energy specializes in the R&D, manufacturing, and integrated sales of lithium‑ion power battery systems and energy storage systems. It provides customers with customized, highly reliable energy storage solutions and is recognized as a national-level “Little Giant” enterprise specializing in niche fields, as well as a “Gazelle” and “Tech Little Giant” enterprise in Shandong Province. The company operates a provincial-level enterprise technology center and sells its products to overseas markets including Europe, North America, Southeast Asia, and the Middle East. Haidi New Energy possesses core technologies spanning the entire value chain—from BMS and PACKs to complete energy storage systems—and has filed patents covering key stages of system integration.

According to the preliminary announcement released by Jiu Liang Co., Ltd., on September 10, the company signed an Equity Investment Letter of Intent with Haidi New Energy, its controlling shareholder Tianke New Energy Co., Ltd. (hereinafter referred to as “Tianke New Energy”), and the actual controller Zong Zhe. Under the agreement, the company intends to acquire at least 51% of the target company’s equity through a cash payment, thereby obtaining control.

It is reported that the transaction includes performance commitments and compensation arrangements. The performance commitment period spans three years—2026, 2027, and 2028 (subject to formal agreement), during which the target company must achieve cumulative net profits attributable to owners of the parent company of no less than RMB 170 million (calculated after deducting non-recurring gains and losses).

Jiu Liang Co., Ltd. primarily engages in the design, R&D, production, and sales of LED lighting products. In terms of financial performance, the company has reported non‑recurring losses for four consecutive years. In the first half of 2026, the company recorded total operating revenue of RMB 148 million, down 6.18% year over year, while net profit attributable to shareholders was a loss of RMB 26.94 million. By revenue segment, LED mobile lighting generated RMB 74.80 million, a 7.40% year-over-year decline; LED home lighting brought in RMB 12.83 million, down 23.67%; and mobile household appliances and other categories contributed RMB 60.77 million, up slightly by 0.29%.

(Image source: Jiu Liang’s 2026 interim report)

In recent years, the company has expanded into portable energy storage product lines, primarily used for outdoor activities, emergency response, and disaster relief.

Jiu Liang Co., Ltd. stated that it remains focused on its core business, continuously pursuing quality improvement and efficiency gains, systematically planning industrial transformation and upgrading, with strategic investments directed toward automotive components, new energy, and high-end equipment manufacturing—sectors characterized by vast market potential and long-term growth prospects.

Upon completion of this transaction, Haidi New Energy will become a controlled subsidiary of Jiu Liang Co., Ltd. Its operations will broaden the application scenarios of the company’s existing energy storage product lineup—including portable energy storage solutions—helping the company enter emerging segments such as commercial and industrial energy storage. This investment leverages the company’s established strengths in resource integration, combined with the target company’s industry expertise, to achieve synergies and complementary advantages, providing robust support for the company’s industrial transformation and overall competitiveness.

The announcement cautions that the transaction is still in its preliminary planning stage, and details such as the transaction structure and terms remain subject to further deliberation and negotiation.

Meanwhile, alongside acquiring energy storage assets, Jiu Liang Co., Ltd. is concurrently advancing asset divestiture efforts.

On September 18, Jiu Liang Co., Ltd. also issued an update on the public listing and sale of all shares in its wholly owned subsidiary, along with progress on formal information disclosure.

Looking back, in order to optimize the company’s asset structure, enhance operational efficiency, and promote high-quality development, Jiu Liang Co., Ltd. plans to sell all shares of its wholly owned subsidiary Guangzhou Jiu Liang Small Household Appliances Co., Ltd. (hereinafter referred to as “Small Household Appliances Company”). A resolution approving this plan was adopted at the 35th meeting of the third session of the Board of Directors on April 27, 2026. The company submitted relevant documents to the competent state‑owned asset management authorities and received official responses from the State‑Owned Assets Supervision and Administration Commission of the Shiyan Municipal People’s Government and Hubei Guoxin Industrial Investment Group Co., Ltd., a state‑funded enterprise, both of which approved the public listing for sale.

In accordance with applicable regulations governing state‑owned property transactions and the trading rules of the Wuhan Optics Valley United Property Exchange, pre‑disclosure of information regarding 100% of the Small Household Appliances Company’s equity commenced on June 4, 2026, lasting no fewer than 20 working days. As of now, the pre‑disclosure period has concluded, allowing for formal information disclosure. However, the formal public listing still requires approval via a special resolution at the company’s third extraordinary shareholders’ meeting in 2026 before implementation.

As a well‑established domestic manufacturer of LED mobile lighting, Jiu Liang Co., Ltd. is accelerating its transition from traditional lighting to the new energy sector through capital maneuvers—acquiring energy storage assets while divesting small household appliance holdings. Against the backdrop of sluggish growth in its traditional lighting business, energy storage has emerged as a key driver of corporate transformation. Nevertheless, this acquisition faces multiple challenges, including ensuring smooth execution of the deal, fulfilling performance commitments, and achieving effective business synergy.