“Science and Technology Innovation Board Daily”, November 5 (Reporter Wu Xuguang) On the evening of November 4, Hexin Instruments revealed a major asset restructuring plan. The company plans to acquire a controlling interest in Shanghai Liangxi Technology Co., Ltd. (“Liangxi Technology” or the target company for short) from Wu Ming and Shanghai Yandao Enterprise Management Partnership (limited partnership) and raise supporting capital by issuing shares and paying cash.

According to the announcement, Liangxi Technology focuses on the R&D, production and sales of extremely low temperature and extremely weak signal measurement and control equipment. Among them, superconducting quantum computing is currently the most important application area for the target company's products.

Hexin Instruments said that after this transaction, the listed company will enrich the range of high-end instruments and equipment products and broaden the company's business scope on the basis of the original mass spectrometer and technical service main business.

Some market analysts told the “Science and Technology Innovation Board Daily” reporter that in terms of application fields, the target companies are in the field of cutting-edge technology, and future market space will depend on the implementation of quantum computing.

In response to actual applications and market prospects, a quantum computing practitioner said in an interview with the “Science and Technology Innovation Board Daily” reporter that the target company is engaged in the production and sale of extremely low temperature and extremely weak signal measurement and control equipment, mainly used in specific fields such as scientific research, medical treatment, aerospace, etc., and market demand is relatively limited. Currently, the level of commercial application in the domestic market is very low, and the downstream market is mainly aimed at research institutes, laboratories and the government level.

According to this quantum computer practitioner, the domestic quantum computer field is currently an emerging industry. Research and development still needs to overcome uncertain problems such as error rate, correlation time, and chillers. It is estimated that it will take at least 10 to 20 years to develop a practical general-purpose quantum computer.

“Currently, there are less than 2,000 professionals working in the field of quantum computing in the country, and the scarcity of talents has become a bottleneck limiting the development of quantum computing technology in China.” The quantum computing practitioner further added.

It should be pointed out that since the audit and evaluation of the assets subject to this transaction have not yet been completed, the estimated valuation and transaction price of the underlying assets of this transaction have not been determined as of the date the plan was signed.

According to the plan, in the last two years of Liangxi Technology, from 2022 to September 2024, the target company achieved operating income of 14.6677 million yuan, 29.36 million yuan, and 37.3442 million yuan; realized net profit of 0.1936 million yuan, 3.3576 million yuan, and 116.892 million yuan.

The quantum computing practitioner mentioned above said that judging from the target company's revenue volume, it indicates that the company has the ability to mass-produce products and achieve small-scale applications, but demand in the downstream market is limited. Because in terms of the performance of the target company's products, it is mainly responsible for signal measurement and control in extremely low temperature environments, and the application fields are more segmented, which is less widely used than lasers and other products in the field of quantum technology.

The “Science and Technology Innovation Board Daily” reporter noticed that on October 16 this year, Wu Ming, founder of Liangxi Technology, said in an interview with the media that recently, Liangxi Technology has not only completed the production and delivery of core quantum computing equipment, but the company's Sino-French international joint laboratory for low temperature measurement science and technology has also been used to establish China's own extremely low temperature standards for China and countries along the “Belt and Road”. At the same time, the company's related technology was also used in an underground laboratory under the 2,400-meter rock layer in Jinping to help carry out the first international experimental study on the effects of cosmic rays on quantum computation.

The quantum computing practitioners mentioned above analyzed this because the target company's products are rarely used in the domestic market, indicating that Liangxi technology products may have plans to be exported to overseas markets, but the key depends on which countries they are exported to. After all, looking at the global market, the application of related products is also limited.

Hexin Instruments is a key high-tech enterprise of the National Torch Program integrating mass spectrometer R&D, production, sales and technical services. It mainly provides customers with mass spectrometers and related technical services.

Hexin Instruments' performance this year is under pressure. Financial reports show that in the first three quarters, Hexin Instruments achieved revenue of 0.149 billion yuan, compared to 0.249 billion yuan in the same period last year, down 40.08% year on year; realized net profit of -25.71 million yuan, a year-on-year reduction of 56.63%.

Hexin Instruments said that mainly as the company basically achieved full coverage of the technology route, after the product line was basically ready, the allocation of R&D resources was gradually sorted out and adjusted, and the number of research projects under development was reduced.

As of the press release, Hexin Instrument's stock price is 29.78 yuan/share. In the past three months, Hexin Instrument's stock price has risen 58.66%. Currently, the company's total market value is 2.085 billion yuan.