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Construction of this fluorine chemical project will be halted! 2025-03-25 On March 21, Nanda Optoelectronics issued a announcement regarding the termination of certain funds-raising projects, the use of the remaining raised funds to supplement working capital on a permanent basis, as well as the sale of related assets and associated transactions. The announcement states that Nanda Optoelectronics will agree to the company’s decision to terminate the \"Hexafluorobutadiene Industrialization Project,\" which was funded through shares issued to specific investors in 2021. The remaining funds from this project, amounting to 28.8164 million yuan, will be used permanently to strengthen the company’s working capital. Meanwhile, the assets related to the hexafluorobutadiene project will be sold to Qixin Gas for a total price of 69.03 million yuan. It is understood that the industrialization project for hexafluorobutadiene aims to build a production facility capable of producing 100 tons per year of hexafluorobutadiene, along with the necessary supporting facilities. The total construction period is 40 months, and once operational, the products produced will be primarily used in the etching process involved in the manufacturing of high-end memory chips. The project plan is to build a pilot plant with a capacity of 30 tons per year in 2024, reach an annual production capacity of 50 tons by 2025, and achieve a total annual capacity of 100 tons by 2026. Nanda Optoelectronics stated that for the \"Hexafluorobutadiene Industrialization Project\", a pilot plant with an annual production capacity of 30 tons has already been built; however, significant further investment is required in research and development, as well as in equipment and materials, to achieve process maturity, stable quality, and customer validation. There is still a gap between this status and the project’s target of an annual production capacity of 100 tons. At the same time, a large amount of capital is flowing into the field of electronic specialty gases, intensifying market competition; as a result, these projects face risks such as failing to achieve the expected economic benefits. In light of the current changes in the market environment, its own operational conditions, and overall development plans, NanDa Optoelectronics, after careful consideration and evaluation, intends to terminate the implementation of the \"Hexafluorobutadiene Industrialization Project\" in order to reduce the investment risks associated with the funds raised. Nanda Optoelectronics also stated that the decision to terminate certain funds-raised projects and sell related assets was a prudent one, made based on the actual progress of those projects, changes in the current market conditions, and the company’s business development plans. Terminating the \"Hexafluorobutadiene Industrialization Project\" is in line with its actual operating conditions, helps to mitigate operational risks and ensure the safety of the funds raised, and will not have any significant adverse impact on its production and operations. At the same time, selling the assets related to the hexafluorobutadiene project helps Zibo Nanda to continue focusing on its core business, optimize its asset structure, improve operational efficiency, and promote its business development.