Analysis of Grandshores Technology (301213) Limit-Up Following Major Asset Restructuring: Proposed Acquisition of Liaojing Electronics to Develop a Complete Military Semiconductor Industry Chain

Grandshores Technology (301213.SZ) surged to a 20% limit-up after resuming trading on January 7, 2026, closing at RMB 82.86 with a total market capitalization of RMB 6.629 billion [1][2][3]. The direct catalyst for this limit-up was the major asset restructuring plan disclosed by the company on the evening of January 6. The company plans to acquire 100% equity of Jinzhou Liaojing Electronic Technology Co., Ltd. by issuing shares and paying cash, and raise supporting funds. The stock saw a one-word limit-up on the first day of resuming trading, reflecting the market’s positive expectations for this strategic acquisition [1][2][6].

From the perspective of the transaction structure, the issue price is RMB 48.06 per share (no less than 80% of the average trading price of the company’s stock in the 60 trading days before the pricing benchmark date), and the number of shares issued shall not exceed 30% of the total share capital of the listed company before the issue. At the same time, the company plans to issue shares to no more than 35 specific investors to raise supporting funds, which will be used to pay the cash consideration for the transaction, intermediary fees, and the development of civilian AI edge computing and commercial aerospace products, etc. [1][2]. This transaction design not only takes into account the control of equity dilution for existing shareholders, but also reserves capital space for subsequent business expansion.

As the core target of this acquisition, Liaojing Electronics has a profound historical accumulation and unique market position in the military electronics field. Founded in 2007, the company’s predecessor was the former Liaoning Transistor Factory, which carries the historical heritage of China’s semiconductor device industry [1][5]. As a national-level specialized, sophisticated, unique, and new “little giant” enterprise, Liaojing Electronics has developed into a gazelle enterprise in Liaoning Province, with a registered capital of RMB 57 million. It is a supporting supplier to the top ten military industry groups, and its products are widely used in national major project fields such as aerospace, aviation, ordnance, shipbuilding, electronics, and nuclear physics [1][5][6].

From the perspective of production capacity, Liaojing Electronics has built a complete manufacturing system for military electronic devices. The company has one national military standard production line for high-power transistors, one national military standard production line for hybrid integrated circuits, one production line for plastic-encapsulated devices, one production line for power modules, and a national-level electronic device testing laboratory. The comprehensive annual production capacity reaches 2 million semiconductor discrete devices and monolithic integrated circuits, 2 million plastic-encapsulated devices, 500,000 optocouplers, and 250,000 hybrid integrated circuits, demonstrating strong large-scale production capacity [1].

Financial data shows that Liaojing Electronics’ performance fluctuated from 2023 to 2025. In 2023, it achieved operating revenue of RMB 147 million and net profit of RMB 55 million; in 2024, revenue fell to RMB 114 million and net profit dropped to RMB 26 million; from January to September 2025, it achieved operating revenue of RMB 132 million and net profit of RMB 41 million, with performance recovering [1][2][3]. As of the end of the third quarter of 2025, the target company’s owner’s equity was approximately RMB 475 million. From the financial trend perspective, the 2024 performance decline is worthy of attention, which may be related to adjustments in the procurement rhythm of downstream military customers or intensified industry competition.

In terms of technical strength, Liaojing Electronics has 34 independent intellectual property rights and 4 invention patents, and its R&D capability supports its continuous competitiveness in the high-end device field [1][5]. The configuration of the national-level electronic device testing laboratory ensures that products meet the strict quality standard requirements of the military industry, which is also a key factor for the company to enter the supply chain system of the top ten military industry groups.

This acquisition is of great strategic significance to Grandshores Technology, marking a key step from the company’s “software-defined hardware” strategic concept to industrial implementation. As a ChiNext-listed company in the field of national defense science and technology informatization, Grandshores Technology has long focused on using technologies such as the Internet of Things, artificial intelligence, and big data to provide military customers with equipment operation status monitoring, diagnosis, evaluation, and management services [7]. However, the company’s original business was mainly concentrated on software and system integration, lacking independent and controllable capabilities for core hardware devices.

By integrating Liaojing Electronics’ semiconductor manufacturing capabilities, Grandshores Technology will achieve the connection of the entire industry chain of “data algorithms - edge computing - software architecture - core hardware - intelligent equipment” [2]. This vertical integration strategy brings four major synergistic effects: First, the industry chain integration effect enables the company to provide downstream customers with full-chain solutions from core components to intelligent system platforms, significantly enhancing customer stickiness and comprehensive competitiveness; Second, the technological synergy effect enables the company’s software capabilities to empower and drive the hardware technology upgrade of Liaojing Electronics, accelerating the deployment in the fields of unmanned, intelligent, and miniaturized equipment; Third, the market expansion effect enables the company to serve military customers with integrated solutions, improving project undertaking capabilities and premium space; Fourth, the civilian extension effect lays a foundation for the company’s development in emerging civilian fields such as AI edge computing and commercial aerospace [1][5].

From the industry background perspective, the current international situation is complex and volatile, the demand for national defense modernization continues to grow, and the domestic substitution of military electronics and semiconductors has become an important part of the national strategy. Grandshores Technology’s rapid entry into the semiconductor device field through this acquisition is not only a positive response to the national strategy, but also a pragmatic choice for the company to seek performance breakthroughs [5][6]. Against the backdrop of the rapid development of military informatization and equipment intelligence, enterprises with integrated “software + hardware” capabilities will gain greater market space.

Grandshores Technology’s choice to enter the semiconductor device field through external acquisition reflects the company’s in-depth thinking on its own development path. After listing in December 2021, Grandshores Technology’s performance failed to meet market expectations. Its performance plummeted 38% in 2022, and although it continued to recover thereafter, its 2024 revenue was only RMB 152 million, failing to return to the pre-listing level [5]. In 2024, the company’s net profit attributable to shareholders of the listed company was -RMB 8.7115 million, and the loss further expanded compared to the same period in 2023 (-RMB 2.0851 million); in the first three quarters of 2025, the net profit attributable to parent was only RMB 0.763 million, although it turned profitable year-on-year, its profitability is still fragile [3][5].

Against this background, quickly acquiring core technologies, production capacity, and market qualifications through mergers and acquisitions has become a realistic choice for the company to break through development bottlenecks. Compared with independent R&D which requires a lot of time and resources, acquisitions can directly obtain mature technical teams, production lines, and customer relationships. From the perspective of strategic timing, the current window period for domestic semiconductor substitution and the accelerated period of military informatization overlap, providing a favorable external environment for this acquisition.

As a national-level specialized, sophisticated, unique, and new “little giant” enterprise, Liaojing Electronics has scarcity and strategic value. Its qualifications as a supplier to the top ten military industry groups, national military standard production line certification, testing laboratory qualification, etc., constitute certain competitive barriers. However, the target company’s 2024 performance decline is worthy of attention: revenue fell from RMB 147 million in 2023 to RMB 114 million, a decrease of 22.45%; net profit dropped from RMB 55 million to RMB 26 million, a decrease of 52.73% [1][3]. This downward trend may reflect issues such as intensified competition in the military electronics industry, fluctuations in the procurement cycle of downstream customers, or a decline in the company’s own competitiveness.

At the same time, it should be noted that as of the date of signing the plan, the audit and evaluation work of the target company has not been completed, and the evaluation results and transaction price of the target assets have not yet been determined [1][2][3]. Core terms such as the final transaction price, performance compensation plan, and the ratio of share payment to cash payment have not been clarified, which brings difficulties for investors to evaluate the true value of the target. In addition, this transaction may constitute a connected transaction after completion, and attention should be paid to the potential issue of fairness of connected pricing [3].

Recently, the A-share market has high enthusiasm for hyping “merger and restructuring” themes, but the regulatory authorities have also strengthened supervision over theme stock speculation. On January 6, 2026, multiple consecutive limit-up stocks issued suspension and verification announcements, sending a clear signal of stricter market supervision [4]. Against this background, although Grandshores Technology’s limit-up trend is driven by substantive restructuring, it is still necessary to guard against the risk of pullback after overheated market sentiment.

From the perspective of industry hotspots, the superposition of multiple popular concepts such as military restructuring, domestic semiconductor substitution, AI computing power, and commercial aerospace provides sufficient theme hype materials for the company [6]. However, the fundamental support is relatively limited: Grandshores Technology’s own performance is under pressure, and Liaojing Electronics’ 2024 performance declined, which may limit the long-term upside space of the stock price. Investors need to distinguish between short-term market sentiment-driven movements and long-term value creation.

: This major asset restructuring still needs to be reviewed by the board of directors again, approved by the shareholders’ meeting, and approved by the Shenzhen Stock Exchange and registered with the China Securities Regulatory Commission before it can be implemented [2]. Uncertainties in the approval process, the length of the review period, and changes in regulatory policies may affect the final completion of the transaction. In addition, the audit and evaluation work of the target assets has not been completed, and the transaction price has not been determined, bringing information asymmetry risks to investors’ decision-making [1][2][3].

: The performance compensation plan has not yet been clarified. If the target company’s future performance fails to meet expectations, it will have a negative impact on the company’s overall profitability. Liaojing Electronics’ performance has already declined significantly in 2024. If the military industry remains in a downturn or competition further intensifies, there is great uncertainty about whether the performance commitment can be fulfilled.

: Grandshores Technology’s own fundamentals are weak. It was in a loss state in 2024, and the net cash flow from operating activities in the first three quarters of 2025 was -RMB 123 million, with great cash flow pressure [5]. Its downstream customers are mainly central enterprise groups, with a long accounts receivable cycle, and the capital turnover efficiency needs to be improved. The continuous rise of period expenses such as management fees and sales fees also erodes profits.

: Recently, the supervision over theme stock speculation has become stricter, and some theme stocks have been hyped significantly deviating from fundamentals [4]. Grandshores Technology’s valuation may be on the high side after the limit-up, and it is necessary to be alert to the pullback risk after market sentiment cools down. The military sector has large short-term fluctuations, which also increases the instability of the stock price.

: The company’s weak fundamentals, the 2024 performance decline of the target asset, undetermined transaction details, and significant short-term increase - the superposition of these factors constitutes a risk combination that requires vigilance. Investors should remain rational, pay attention to subsequent announcement disclosures, and guard against theme speculation risks.

: If this acquisition is successfully completed, Grandshores Technology will transform from a pure software service provider to an integrated “software + hardware” solution provider, significantly enhancing the company’s market position and comprehensive competitiveness. The vertical integration of the military electronics industry chain can bring higher customer stickiness and stronger bargaining power.

: The raised funds will be used for the development of civilian AI edge computing and commercial aerospace products, which are in a stage of rapid development. If the company can successfully enter these fields, it will open up greater growth space and reduce its dependence on a single military market.

: Currently, the market gives a relatively high valuation to the military electronics and semiconductor sectors. If the company’s fundamentals are substantially improved after the acquisition, its valuation level is expected to be re-evaluated by the market.

: Events such as restructuring progress announcements, regulatory approval dynamics, and the disclosure of Liaojing Electronics’ audited financial data will have a direct impact on the short-term stock price. Investors need to pay close attention to the release time of subsequent announcements to layout in advance or avoid corresponding risks.

This limit-up of Grandshores Technology is a typical

, with the core driving factor being the release of the major asset restructuring plan. The company plans to acquire 100% equity of Liaojing Electronics to create a “software + hardware” synergistic effect and deploy in hot tracks such as AI edge computing and commercial aerospace, which is in line with the industry trends of military electronics and domestic semiconductor substitution.

However, when evaluating this investment opportunity, investors need to pay attention to the following key information: the target asset Liaojing Electronics’ 2024 performance declined (revenue decreased by 22.45%, net profit decreased by 52.73%), the company itself was still in a loss state in 2024, and the performance fundamental support is relatively limited [1][3][5]. At the same time, transaction details have not yet been finalized, and core terms such as transaction price, performance compensation plan, and the ratio of share payment to cash payment still need to be further clarified [1][2][3].

After the limit-up, the company’s total market capitalization reached RMB 6.629 billion, with strong short-term momentum, but it is necessary to guard against the pullback risk after overheated market sentiment. In the future, focus should be paid to the disclosure time of the restructuring report, regulatory approval progress, Liaojing Electronics’ audited financial data, as well as the overall performance of the military sector and changes in the popularity of merger and restructuring themes. Sustainability depends on restructuring progress and actual improvement of fundamentals; it is recommended that investors remain rational, pay attention to subsequent announcement disclosures, and guard against theme speculation risks.