On the evening of October 26, Shenzhen Yitoa Intelligent Control Co., Ltd. (300131.SZ), a leading domestic electronic component distributor, announced plans to acquire 100% equity of Guilin Guanglong Integration Technology Co., Ltd. (Guanglong Integration) and 76% equity of Shanghai Aojian Microelectronics Technology Co., Ltd. (Aojian Microelectronics) through share issuance. Trading of its shares will be suspended starting October 27.

This dual-target acquisition marks a critical step in Yitoa’s strategic shift from an electronic component distributor to a semiconductor IDM (Integrated Device Manufacturer). The move will simultaneously position the company in two core segments—optical chips and analog chips—bolstering its "distribution + chip" dual-drive strategy.

**01# Strengthening Core Technologies to Fill Semiconductor Gaps** The two acquisition targets bring distinct technological advantages that synergize with Yitoa’s existing operations. Guanglong Integration, a core subsidiary of Guanglong Technology, specializes in semiconductor laser chips and possesses advanced domestic technologies such as MOCVD epitaxial growth and 3-inch holographic exposure grating. Its products span optoelectronic device manufacturing and quantum computing services, with applications in 5G communications, data centers, and AI. This acquisition complements Yitoa’s IoT and smart control channel resources, accelerating commercialization in optoelectronics.

Aojian Microelectronics, founded in 2015 and affiliated with memory chip giant GigaDevice, focuses on high-performance analog and mixed-signal chip design. Its products serve communication base stations, servers, medical equipment, and industrial control systems. With a founding team from top global chip design firms, Aojian fills Yitoa’s gap in analog chips, leveraging Yitoa’s distribution network to penetrate automotive and industrial markets.

**02# From Distribution Leader to IDM: A Clear Transformation Path** While distribution still accounted for 88% of Yitoa’s H1 2025 revenue, the company has steadily expanded upstream. Its chip design and manufacturing revenue grew 24.57% YoY to RMB 213 million in H1 2025, driven by in-house MEMS micromirrors and automotive display chips entering mass production.

The acquisitions of Guanglong Integration and Aojian Microelectronics will accelerate Yitoa’s transition from a distributor to an IDM with integrated R&D, manufacturing, and sales capabilities. Their technologies will synergize with Yitoa’s existing MEMS mirrors and automotive DDIC products, enabling comprehensive solutions for automotive electronics, industrial control, and AI.

This deal exemplifies how domestic distributors are moving upstream amid import substitution and industry consolidation. By acquiring core technologies, Yitoa could carve out a niche in optical and analog chips, marking a breakthrough in its dual-drive strategy and contributing to the diversification of China’s semiconductor sector.