Societe Generale Technology announced on July 16 that some media, self-media, stock bars and other platforms are discussing the company's proposed acquisition of the indium phosphide business. The company has now clarified the following: The company issued the “Voluntary Information Disclosure Notice on Signing a Framework Agreement to Acquire Assets Related to the Acquisition of Indium Phosphide Business” on the evening of June 21, 2026. The acquisition still needs to be submitted to the board of directors for consideration, and there is still uncertainty about whether the transaction can be completed. The proposed acquisition of the indium phosphide business has the characteristics of a long customer certification cycle and a high entry threshold. After preliminary verification, the net asset book value of the proposed acquisition of the indium phosphide business is expected to be no more than 25 million yuan. The revenue from the indium phosphide business is expected to be no more than 5 million yuan from January to May 2026, and currently no more than 2 million yuan. The total revenue achieved and will be realized in 2026 accounts for a very small proportion of the company's revenue in 2025. Currently, it is expected that this matter will have little impact on the company's current operating income and net profit. The company's proposed acquisition of indium phosphide assets has not been profitable for the past three years. It is expected that after the acquisition is completed, there may be a risk that the business will not be profitable in the short term. The company plans to acquire indium phosphide assets in this acquisition. Currently, the products are mainly 2 inch and 3 inch indium phosphide substrates, which are more common in the market, mainly used in detectors. The yield rate of VGF single crystals is low. Currently, the verification threshold for 4-inch products is high, and there may be a risk that customer verification will not pass. Currently, all products do not involve optical module customers. The company plans to establish a subsidiary to independently operate this business after acquiring indium phosphide substrate business assets. After the establishment of the subsidiary, it is still necessary to go through procedures such as project filing, environmental impact assessment approval, and project safety condition review. The estimated processing time is 6 to 9 months, and there is a risk that the indium phosphide substrate business will not be able to produce during the relevant formalities. Currently, the global indium phosphide substrate market is highly concentrated, leading overseas manufacturers occupy the main market share, and the certification cycle for industry customers is long and the entry threshold is high. After the new project product is launched, it may face slow market development, delays in customer certification, increased market competition, etc., and there is a risk that production capacity release will fall short of expectations or economic benefits will not meet standards.

Societe Generale Technology announced on July 16 that some media, self-media, stock bars and other platforms are discussing the company's proposed acquisition of the indium phosphide business. The company has now clarified the following: The company issued the “Voluntary Information Disclosure Notice on Signing a Framework Agreement to Acquire Assets Related to the Acquisition of Indium Phosphide Business” on the evening of June 21, 2026. The acquisition still needs to be submitted to the board of directors for consideration, and there is still uncertainty about whether the transaction can be completed. The proposed acquisition of the indium phosphide business has the characteristics of a long customer certification cycle and a high entry threshold. After preliminary verification, the net asset book value of the proposed acquisition of the indium phosphide business is expected to be no more than 25 million yuan. The revenue from the indium phosphide business is expected to be no more than 5 million yuan from January to May 2026, and currently no more than 2 million yuan. The total revenue achieved and will be realized in 2026 accounts for a very small proportion of the company's revenue in 2025. Currently, it is expected that this matter will have little impact on the company's current operating income and net profit. The company's proposed acquisition of indium phosphide assets has not been profitable for the past three years. It is expected that after the acquisition is completed, there may be a risk that the business will not be profitable in the short term. The company plans to acquire indium phosphide assets in this acquisition. Currently, the products are mainly 2 inch and 3 inch indium phosphide substrates, which are more common in the market, mainly used in detectors. The yield rate of VGF single crystals is low. Currently, the verification threshold for 4-inch products is high, and there may be a risk that customer verification will not pass. Currently, all products do not involve optical module customers. The company plans to establish a subsidiary to independently operate this business after acquiring indium phosphide substrate business assets. After the establishment of the subsidiary, it is still necessary to go through procedures such as project filing, environmental impact assessment approval, and project safety condition review. The estimated processing time is 6 to 9 months, and there is a risk that the indium phosphide substrate business will not be able to produce during the relevant formalities. Currently, the global indium phosphide substrate market is highly concentrated, leading overseas manufacturers occupy the main market share, and the certification cycle for industry customers is long and the entry threshold is high. After the new project product is launched, it may face slow market development, delays in customer certification, increased market competition, etc., and there is a risk that production capacity release will fall short of expectations or economic benefits will not meet standards.