On June 24, Xiangxin Technology unveiled its strategic plan to acquire a 51% stake in Suzhou Ku'erxin Technology Co., Ltd., through a combination of cash purchase and capital infusion. The preliminary overall valuation of the target company is set at 675 million yuan. Once the transaction is finalized, Suzhou Ku'erxin will transform into a majority-owned subsidiary of Xiangxin Technology.
At present, merely a framework agreement has been inked between the parties. Subsequent negotiations will hinge on the outcomes of due diligence, auditing, and valuation processes to ascertain the feasibility of signing a formal acquisition and capital increase pact. Consequently, there remains an element of uncertainty surrounding the successful conclusion of the final deal.
Suzhou Ku'erxin primarily focuses on the research, development, production, and marketing of liquid cooling heat dissipation solutions. In 2025, the company reported a revenue of 104 million yuan and a net profit of 31.6928 million yuan.