Sifang Optoelectronics (688665.SH) announced that the company is based on the future strategic development layout, in order to integrate market resources and give full play to the company's technical and service advantages in gas sensors, on December 22, 2023, the company signed the "Capital Increase Agreement of Sichuan Hilde Technology Co., Ltd." with Sichuan Hilde Technology Co., Ltd. (hereinafter referred to as "the target company") and its shareholders Chen Xiaohui, He Liu, Chengdu Zhonghui Zhian Enterprise Management Center (limited partnership), Huang Xuelian, Feng Mengxiao, Mao Ping An, Zhang Yonggen, Guo Tao, Ma Xiaojian, Kang Min, Sun Qian and Chen Liang.

the company will increase its capital to the target company with its own capital of RMB 50 million, of which RMB 5.353327 million will be included in the registered capital of the target company and the remaining RMB 44.646673 million will be included in the capital reserve of the target company. After this capital increase, the registered capital of the target company increased from 10.391752 million yuan to 15.745079 million yuan, and the company's shareholding ratio was 34%.

It is reported that the target company is mainly engaged in the research and development, production and sales of household detectors, industrial and commercial detectors, alarm controllers, self-closing valves and solenoid valves. Its products are mainly used in the field of city gas, and gradually develop petroleum, chemical, medical and other non-city gas fields. Its customers mainly include some well-known gas companies.

the company said that this foreign investment is based on the company's consideration of the future strategic development layout, through coordination with the target company's purchase demand for the core components of the gas sensor in the alarm products and its mature sales channel resources of the gas company, and at the same time, the company's technical and foreign trade sales capabilities in the gas sensor are used to jointly develop the relevant market of the alarm, realize the company's existing safety monitoring gas sensor business and focus on the newly cultivated smart metering industry to accelerate the development.