On October 11, Dongbai Group disclosed that its wholly-owned subsidiary, Dongbai Chuangzhi, intends to purchase a 52.6667% stake in Hangzhou Kuailing Optoelectronics Technology Co., Ltd., for around RMB 316 million. Upon completion of this transaction, Kuailing Optoelectronics, along with its subsidiary Guangte Technology, will be consolidated into Dongbai Group's financial statements.

Specializing in the research, development, production, and sales of photon detection chips, Kuailing Optoelectronics reported revenues of RMB 39.7613 million in 2025 and RMB 34.8693 million from January to August 2026. However, the company incurred net losses of RMB 15.0722 million and RMB 2.5170 million in the respective periods, reflecting a relatively modest revenue scale and a lack of profitability.

Currently, Kuailing Optoelectronics derives the majority of its revenue in the optical communications sector from low-speed products. The commercialization of high-speed products may face obstacles related to technical reliability, performance, or production capacity, which could, in turn, impact customer certification and hinder large-scale shipments.

Moreover, as Dongbai Group is not currently engaged in related business areas and lacks the necessary R&D technical personnel, this acquisition entails risks associated with cross-border operations and integration management. Should the integration fail to meet expectations, it could negatively affect the profitability of both Kuailing Optoelectronics and Dongbai Group.