On the evening of September 28, ZhiGuang Electric (002169) announced that the company is planning to purchase all or part of the minority equity in its holding subsidiary, Guangzhou ZhiGuang Energy Storage Technology Co., Ltd. (referred to as “ZhiGuang Energy Storage”), through a combination of issuing shares and cash payment. Additionally, the company intends to issue shares to raise supporting funds. Consequently, trading of the company’s stock will be suspended starting September 29, with the suspension expected to last no longer than 10 trading days.
According to preliminary calculations by ZhiGuang Electric, this transaction is not expected to constitute a significant asset restructuring, nor is it anticipated to be related party transactions. Furthermore, it is not expected to result in a change of the company’s actual controller or qualify as a restructuring listing.
ZhiGuang Energy Storage specializes in energy storage operations and has been dedicated to the research, development, and manufacturing of energy storage systems and related technologies. This includes core technologies such as EMS (Energy Management System), BMS (Battery Management System), and battery PACKs, with ongoing innovations in energy storage system integration, microgrids, and energy internet sectors.
Recently, ZhiGuang Electric stated on an interactive platform that it has prioritized energy storage as a strategic focus for development. The latest order announcement revealed that ZhiGuang Energy Storage has recently signed a procurement contract worth 164 million yuan with China Energy Engineering Group Guangdong Electric Power Design Institute Co., Ltd., for the purchase of high-voltage cascade semi-solid lithium iron phosphate energy storage systems.
On September 19, ZhiGuang Electric disclosed in its investor relations activity records that 18 institutions conducted research on the company, specifically focusing on its energy storage business progress. The company reported that it has invested in, constructed, and is operating independent energy storage stations in Qingyuan and Meizhou. The first phase in Qingyuan (200MW/400MWh) commenced operations in 2024, while the second phase (100MW/200MWh) and third phase (200MW/400MWh) in Qingyuan, along with the first phase in Pingyuan (100MW/200MWh), are in the final commissioning phase, aiming for completion and operation within the year. Construction for the second phase in Pingyuan (100MW/200MWh) is also set to begin.
ZhiGuang Electric emphasized that all energy storage stations they invest in utilize their proprietary cascade-type high-voltage direct-connected energy storage system products, known for their high energy conversion efficiency, low maintenance costs, and strong grid integration capabilities—particularly suited for the operational demands of independent energy storage stations.
In July, the Guangdong Provincial Energy Bureau clarified a policy stating that “no more than one independent energy storage station shall be planned for the same 220kV power supply area,” which is expected to limit the number of independent energy storage stations in the province. Nevertheless, the company anticipates maintaining a competitive advantage in this area.
Furthermore, ZhiGuang Electric noted that energy storage stations, including electrochemical and other types, are crucial components of the new power system and play significant roles in the ancillary services and power trading markets. The company is optimistic about the future development of independent energy storage stations. It possesses advantages in manufacturing energy storage equipment and integrating energy storage systems, as well as experience in building and operating independent energy storage stations. As the power market matures and business models become clearer, the company will consider investing in, constructing, and operating independent energy storage stations in other locations based on actual conditions.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/zhi-guang-electric-plans-to-acquire-minority-stake-in-subsidiary-zhi-guang-energy-storage-stock-suspended-from-trading-starting-september-29/
