Set to increase 0.636 billion! Yida shares to expand production of 200000 tons of alcohol ether, plus code electronic grade wet electronic chemicals.

According to the plan, the number of shares to be issued shall not surpass 49.454 million shares, I .e. no greater than 30% of the total share capital before the issue. The pricing base date is the first day of the issue period, and the issue price is not less than 80% of the average trading price of the company's shares in the 20 trading days prior to the pricing base date. Shares subscribed by the subscribers shall not be transferred within six months from the date of completion of the issuance. Following the completion of the issuance, the equity interest controlled by the company’s actual controller, Liu Jun, and his concert parties will decrease from 36.22% to 27.86%. The company stated that, despite the decrease in its shareholding ratio, its controlling interest remains unchanged. The shareholding proportion of general shareholders shall not be less than 25%.

In terms of fund-raising, the total investment of Taixing Yida project is about 0.642 billion yuan, and the proposed fund-raising is about 0.548 billion yuan, with a construction period of 24 months. Upon completion of the project, 155000 tons/year of C (B) glycol ether and 45000 tons/year of propylene glycol ether ester will be formed. Zhuhai Yida Project has a total investment of 0.1 billion yuan and plans to invest 88.8702 million yuan of raised funds with a construction period of 12 months. The project adds 8,000 tons/year of electronic-grade PM, 6,600 tons/year of electronic-grade PMA, and 10,400 tons/year of thinner production capacity. The company stated that the Taixing project will leverage the manufacturing synergy between the propylene oxide unit and its downstream alcohol ether and alcohol ether ester product lines, alleviate capacity constraints, and enhance its market position. The Zhuhai project will enhance the precision treatment, trace impurity manage, clean filling and online detection system, and promote the extension of items from display panel level to semiconductor level consumption.

This fundraising project involves the expansion and upgrading of the company’s core business in alcohols, ethers, and alcohol ether esters. In 2025, the company's propylene glycol ether and its esters, glycol ether and its esters and brake fluid total design capacity of 230000 tons. Among them, the capacity utilization rate of alcohol ether and alcohol ether ester items has reached 93.95%, approaching full capacity. Based on the revenue development in the first half of 2026, capacity constraints remain in place, making it difficult to promptly meet certain market demands. At the same time, the rapid research of technologies such as generative artificial intelligence, substantial model training and reasoning has led to the construction of data centers, intelligent computing centers and high-speed communication networks, growing the demand to photoresist and supporting solvents, diluents and cleaning fluids.

According to statistics, in 2025, China's wet electronic chemicals market demand to 4.8772 million tons, an increase of 11.90. Among them, demand in the integrated circuit sector reached 1.5226 million tons, a year-on-year increase of 10.91%. Demand in the display panel sector reached 1.106 million tons, up 8.59% year on year. It is projected that China’s overall market size to wet electronic chemicals will reach RMB 25.71 billion in 2026. In both the display panel and semiconductor sectors, the domestic production rate of wet electronic chemicals remains below 60%, indicating significant possible to import substitution. Therefore, the company plans to expand its production capacity through this fundraising project and, in conjunction, establish electronic-grade treatment, blending, and clean-fill facilities to achieve both capacity expansion and condition upgrades to its flagship items.

According to Huizheng Information, Yida's business situation improved significantly in the first half of 2026, mainly due to the increase in sales of alcohol ether and alcohol ether ester items, the recovery of selling prices, and the cost dilution brought about by the increase in the load of Taixing Yida HPPO plant. During the reporting period, the company achieved operating revenue of approximately RMB 1.135 billion, a year-on-year increase of 64.43%. Net profit attributable to shareholders of the listed company amounted to RMB 30.7898 million, an increase of 148.89% year on year. Non-recurring net profit amounted to RMB 29.8521 million, up 147.37% year on year. Basic earnings per share: RMB 0.1868.

In terms of items, alcohol ether series items achieved operating income of 0.496 billion billion yuan, up 22.68 percent year-on-year, gross profit margin of 15.15 percent, up 12.32 percent year-on-year. Alcohol ether ester series items achieved operating income of 0.257 billion billion yuan, up 24.78 percent year-on-year, gross profit margin of 15.79 percent, up 6.20 percent year-on-year. These two product categories together account to 66.4% of the company’s operating revenue and serve as the primary driver of its performance recovery. In addition, the propylene oxide sector achieved revenue of 0.271 billion yuan, a significant increase year-on-year, while the gross margin is still slightly reduce, however narrowed by 589.91 year-on-year, mainly due to the HPPO process plant capacity utilization rate, to the downstream alcohol ether and alcohol ether ester business to provide a stable raw material guarantee and manufacturing chain synergy.

The company’s core competitiveness, built around its alcohol ether and alcohol ether ester business, continues to be strengthened. The company is a standard-setting entity in the alcohol ether sector and the lead drafting organization to environmentally friendly-design items based on propylene oxide, possessing sustained independent innovation capabilities. Relying on many years of experience in the production of alcohol ethers and alcohol ether esters, the company has formed a "flexible production" feature, which can flexibly adjust the output and product types according to market demand. Through independent research and research of HPPO method epoxy propane complete sets of methodology and annual output of 150000 tons of equipment, the company extends upstream, stable core raw material supply, minimize costs, enhance manufacturing chain synergy. Relying on the layout of "three rivers and four places", the company is close to raw materials, close to the market, facing the world, and reduces production costs through Zhuhai storage tank area, opening up international market channels. Meanwhile, the company has been integrated into the core supply chains of major customers such as BASF and Dongjin Semicon, providing stable demand support to its alcohol ether and alcohol ether ester business.

This private placement is centered on expanding and upgrading the company’s core business in alcohols, ethers, and alcohol ether esters, while also growing investment in electronic-grade wet chemicals. After the completion of the issuance, the company's financial strength will be enhanced and the asset-liability ratio is expected to decline; however, it still needs the approval of the shareholders' meeting, the Shenzhen Stock Exchange and the CSRC, and there are risks such as diluting the immediate return and the benefits of the fund-raising project not meeting expectations.