Shiyida Holdings Lighting Sun Company plans to increase its registered capital with undistributed profits

On October 10, Shiyida issued an announcement announcing that in order to meet the business development needs of its controlling subsidiary company Wuxi Yiming Optoelectronics Co., Ltd. (hereinafter referred to as "Wuxi Yiming"), Wuxi Yiming plans to increase its registered capital with undistributed profits.

According to the announcement, all shareholders of Wuxi Yiming signed the "Shareholders' Meeting Resolution" in Wuxi City, Jiangsu Province on October 9, 2023. Wuxi Yiming plans to transfer undistributed profits of 38.379 million yuan to increase registered capital in accordance with the shareholding ratio of their respective shareholders. After the transfer of registered capital is completed, Wuxi Yiming's registered capital will increase from 11.63 million yuan to 50.009 million yuan.

Equity structure before and after the capital increase

Information shows that Shiyida is mainly engaged in the two major sectors of smart hardware and smart marketing. Among them, the smart terminal product business is mainly the design, research and development, production and sales of LED smart lighting and related supporting smart terminal products, providing customers with LED product solutions. The sales model includes foreign market ODM + domestic market dealers.

Wuxi Yiming, a subsidiary company of Shiyida Holdings, was established on December 21, 2016. Its business scope includes: design, research and development, production, and sales of lighting products; installation of lighting engineering, driving power supplies, and control systems; self-operated and agent import and export of various commodities and technologies (except for commodities and technologies that are restricted by the state or prohibited from import and export). General projects: security equipment manufacturing; security equipment sales; household appliance research and development; household appliance manufacturing; household appliance sales; household appliance spare parts sales; power transmission, distribution and control equipment manufacturing; motor vehicle charging sales; and lighting equipment manufacturing.

In terms of financial data, in 2022 (audited), Wuxi Yiming's operating income was 304.9281 million yuan, and its net profit was 32.1806 million yuan; from January to June 2023 (unaudited), Wuxi Yiming's operating income was 168.3169 million yuan, and its net profit was 21.1283 million yuan.

Shiyida stated that Wuxi Yiming’s use of part of its undistributed profits to increase its registered capital is based on the needs of its business development. It will help improve Wuxi Yiming’s capital strength and comprehensive competitiveness, help Wuxi Yiming better achieve business expansion, and is in line with the company’s strategic development plan and long-term interests.