On September 8, Wanrun Technology made an announcement stating that, with the aim of further advancing its next-generation information technology business, the company intends to augment the capital and share structure of its majority-owned subsidiary, Hubei Changjiang Wanrun Semiconductor Technology Co., Ltd. This move is designed to attract strategic investors, thereby expanding Wanrun Semiconductor’s revenue base and bolstering its profitability. The capital increase is set at a total of RMB 130 million, which will be executed in two phases: a private agreement-based capital increase and a public offering via a property rights exchange platform.

Specifically, Wanrun Technology will contribute RMB 100 million in cash through a private agreement to increase its capital, while other shareholders of Wanrun Semiconductor will relinquish their pre-emptive rights and opt not to participate in this round of capital increase. Concurrently, strategic investors will be brought on board through a public offering to raise an additional RMB 30 million. Following the capital increase and share dilution, Wanrun Technology will retain its position as the controlling shareholder of Wanrun Semiconductor. The proceeds from this capital increase will be primarily allocated towards research and development investments and operational cash flow.