China Carbon Neutral (01372.HK): Signs LOI to Acquire Majority Stake in Shanghai Mingxiao Technology, Expanding into Traffic AI Digitalization

NewTimeSpace News: China Carbon Neutral Development Group Limited (stock code: 1372) announced that on 27 July 2026, the group formally signed a letter of intent with shareholders of Shanghai Mingxiao Information Technology Co., Ltd.—Mr. Yang Hua, Mr. Peng Xinghui, and Nanjing Yunzhijun Investment Management Center (Limited Partnership). Pursuant to the letter of intent, the group intends to acquire more than 51% of the equity interest in the target company held by the sellers and other shareholders to achieve control.

According to the announcement, Shanghai Mingxiao Information Technology is led by academicians and technical experts in trusted data security, artificial intelligence, big data, and vehicle-road collaboration. It focuses on traffic AI digitalization, next-generation traffic infrastructure informatization, traffic and energy industrial internet, and core edge computing. In the rail transit sector, its business covers smart passenger service systems (ranking first in market share in the segment), smart train operation systems, smart operation and maintenance safety systems, and smart new energy systems. Implemented projects cover 47 cities nationwide (including Beijing, Shanghai, Guangzhou, and Shenzhen) and Hong Kong, as well as overseas markets including Israel and Thailand, encompassing 173 urban rail transit lines, serving approximately 2,200 stations, 2,200 trains, and over 13,000 vehicles.

The announcement noted that the target company's underlying architecture comprises domestic computing chips, edge intelligent hardware, full-stack algorithm libraries, PHM predictive maintenance, and vertical large models; its upper-layer applications form multi-industry closed loops through digital twins, industrial intelligent agents, data flywheels, source-network-load-storage integration, vehicle-road-cloud integration, low-altitude economy, and data security. The company has obtained certifications including CMA/CNAS from the State Grid PAL agency, IRIS international railway industry standard certification, international safety integrity level SIL2 certification, and CMMI Level 5 certification. It has been recognized as a Shanghai municipal enterprise technology center, a national high-tech enterprise, a national specialized and innovative "Little Giant" enterprise, and a dual-software enterprise.

Under the letter of intent, the group intends to complete the acquisition through issuance of new shares or convertible bonds. The overall valuation and final consideration will be determined through negotiation based on audit and asset appraisal results as at the benchmark date. The exclusivity period is three months from the date of signing. The final completion of the acquisition is subject to the parties entering into a legally binding formal Equity Transfer Agreement and satisfying multiple closing conditions.

NewTimeSpace Disclaimer: All content herein is the original work of NewTimeSpace. Any reproduction, reprinting, or use of this content in any other manner must clearly indicate the source as "NewTimeSpace". NewTimeSpace and its authorized third-party information providers strive to ensure the accuracy and reliability of the data, but do not guarantee the absolute correctness thereof. This content is for reference only and does not constitute any investment advice. All transaction risks shall be borne by the user.