Zhitong Finance App News, Baosheng Co., Ltd. (600973.SH) announced that the company plans to invest no more than RMB 45.69 million to establish a wholly-owned subsidiary, Vietnam Baolian Technology Co., Ltd. (tentative name, subject to registration by the local registration authority), and use the company as the implementing entity to build a cable production capacity project for high-end communications and data centers; the investment amount includes but is not limited to matters related to the establishment of the target company, purchase of fixed assets and supporting facilities. The actual investment amount is based on the amount approved by the Chinese and local authorities. After the establishment of an overseas subsidiary, the company will implement the construction of a Vietnamese production base in stages according to specific circumstances such as business progress.
The new company has not yet been established. It is tentatively named Vietnam Baolian Technology Co., Ltd. The main business is planned to be wire and cable manufacturing, R&D and sales, etc.; the specific company name, registered capital, registered address, business scope and related details are subject to registration by the local registration authority. Vietnam Baolian Technology Co., Ltd. (tentative name, subject to registration by the local registration authority) is funded by the company. The company is its sole shareholder and holds 100% of its shares.
The establishment of a wholly-owned subsidiary in Vietnam helps the company seize the high-end supply chain. It is a major innovative measure to implement the “oriented, new, and far-reaching” business layout and implement the concept of “high-end development, win-win internationalization”. The high-end cable project invested in this investment has good market prospects, mature technology, remarkable benefits, and manageable risks, which conforms to the company's strategy and long-term interests.