Lens Technology Co.,Ltd. (300433.SZ) recently made headlines when its founder, Zhou Qunfei, was seated between Apple CEO Tim Cook and Tesla CEO Elon Musk at a state banquet during a diplomatic visit. Known as the "Glass Queen," Zhou was once China's richest woman. Now, she is steering the company through another significant corporate move.

On May 18, Lens Technology announced it had entered into a share purchase agreement with Nan Ya Management Co., Ltd., Zheng Liyu, and Lin Meili (collectively, the "Sellers") to acquire approximately 27.81% of the issued shares of JU TENG INTL (03336.HK) at HKD 2.20 per share. The total consideration for the transaction amounts to HKD 734 million.

Following the announcement, by the close of trading on May 19, Lens Technology's A-share price fell 1.91% to CNY 37.96, while its Hong Kong-listed shares dropped 4.67% to HKD 22.46. On the same day, shares of JU TENG INTL, which resumed trading, plunged over 30% intraday and closed down 25.93% at HKD 3.00.

According to the announcement, the acquisition involves approximately 334 million shares of JU TENG INTL at HKD 2.20 per share, representing a discount of about 45.68% to its last closing price of HKD 4.05 before the trading halt. Lens Technology will proceed with the transaction in two steps: first, acquiring the 27.81% stake via agreement, followed by a voluntary general cash offer at the same price per share in accordance with Hong Kong's Codes on Takeovers and Mergers.

Upon successful completion of the general offer, Lens Technology will hold over 50% of the voting rights in JU TENG INTL, becoming its controlling shareholder. JU TENG INTL will then be consolidated as a non-wholly-owned subsidiary of Lens Technology.

Lens Technology has also committed that, within six months after the offer's completion (if necessary), it will sell down part of its holdings to ensure JU TENG INTL's public float remains above 25%, thereby maintaining its listing status on the Stock Exchange of Hong Kong.

Lens Technology stated that the acquisition aims to seize the historic opportunity presented by AI technology driving global industrial transformation and to further enhance the company's core capabilities in precision manufacturing. The announcement notes that the deal will foster deep synergies between the two companies in product portfolios, customer networks, production clusters, and technology reserves. It is expected to accelerate Lens Technology's vertical integration strategy from "materials-components-end products" and deepen the collaborative ecosystem across its four major business segments: consumer electronics, automotive electronics, commercial aerospace, and AI hardware.

JU TENG INTL is a specialized 3C product manufacturer primarily engaged in producing and selling notebook computer casings and handheld device casings. As of the end of 2025, its net assets stood at HKD 5.4 billion. The company reported net losses of HKD 730 million and HKD 665 million for the fiscal years 2024 and 2025, respectively.

Simultaneously, Lens Technology faces near-term pressures. The company reported a shift from profit to loss for the first quarter of 2026, with a net loss attributable to shareholders of CNY 150 million, a decrease of 134.88% year-over-year. Management attributed the loss primarily to significant foreign exchange fluctuations resulting in approximately CNY 500 million in non-operating exchange losses, coupled with delayed demand from some customers due to shortages and price increases in memory chips.

Post-acquisition, the company must navigate the dual challenges of its own financial volatility and the integration of the target. The actual effectiveness of this transaction will require time to be fully assessed.