Zhejiang Chint Electrics Co., Ltd. (SHSE:601877) agreed to acquire an additional 5% stake in STATE GRID ZHEJIANG INTEGRATED ENERGY SERVICE CO., LTD. from Shenzhen Jiyuan Comprehensive Energy Technology Service Co., Ltd. for CNY 150 million on July 12, 2024. A cash consideration of CNY 150 million will be paid by Zhejiang Chint Electrics Co., Ltd. As part of consideration, CNY 150 million is paid towards common equity of STATE GRID ZHEJIANG INTEGRATED ENERGY SERVICE CO., LTD. Upon completion, Zhejiang Chint Electrics Co., Ltd. will own 10% stake in STATE GRID ZHEJIANG INTEGRATED ENERGY SERVICE CO., LTD. The consideration will be paid in two installments. The transaction will be financed through equity investment of CNY 150 million.

For the period ending December 31, 2023, STATE GRID ZHEJIANG INTEGRATED ENERGY SERVICE CO., LTD. reported total revenue of CNY 1.37 billion and net income of CNY 139.35 million. As of December 31, 2023, STATE GRID ZHEJIANG INTEGRATED ENERGY SERVICE CO., LTD. reported total assets of CNY 3.78 billion and total common equity of CNY 1.87 billion.

The transaction is subject to approval of offer by acquirer board. The deal has been approved by the board of Zhejiang Chint Electrics Co., Ltd.