Where to Begin

CIG (symbol: 06166) has announced a significant strategic move. The company revealed on July 24, 2026, that it has entered into a partnership agreement with Shanghai Zhifeng Zhizhi to establish a partnership fund. This new entity will focus on equity investment, investment management, and asset management, primarily targeting investments in unlisted companies through private equity and venture capital funds.

Why This Partnership Matters

Under the terms of the agreement, CIG (as the limited partner) and Shanghai Zhifeng Zhizhi (as the general partner) will contribute RMB 800 million and RMB 10,000, respectively. This gives CIG a 99.9988% stake in the partnership, while the general partner holds the remaining 0.0012%. Upon completion of the transaction, the partnership will be treated as a subsidiary of CIG and its financial results will be consolidated into the company's financial statements. The proposed name for the partnership is Jiaxing Hujiang Optoelectronic Industry Fund Partnership (Limited Partnership), with the final name subject to approval from relevant government authorities.

This initiative involves CIG using its own funds to collaborate with professional institutions. The goal is to leverage the expertise and resources of these institutions in the investment field, while controlling risk, to pursue medium-to-long-term returns. By strategically focusing on companies in the optical components, chips, and core IC sectors, CIG aims to strengthen its control over the industry supply chain, enhance its technological capabilities and supply chain resilience, improve its market coverage and influence, diversify its investment portfolio, and maximize strategic and operational synergies. This move aligns with the company's long-term development strategy and its plans for the use of raised funds.