A giant worth 110 billion yuan has taken control of a data center worth 28 billion yuan!

The highly anticipated Qinhuai Data capital operation may see new developments.

1. Seeking Control of Qinhuai Data

On the evening of February 24, Dongyangguang announced that it is planning to acquire the controlling stake of Yichang Dongshu No.1 through issuing shares and raising supporting funds. The company’s stock has been suspended since the market opened on February 25, expected to last no more than 10 trading days.

The announcement states that Dongshu No.1 is a subsidiary established for the purpose of acquiring Qinhuai Data. It is reported that Dongshu No.1 controls 100% of the operating entity of Qinhuai Data through its wholly owned subsidiary, Yichang Dongshu No.3. This move by Dongyangguang indicates an intention to formally bring Qinhuai Data into the listed company’s system.

According to the announcement, Dongyangguang has signed a “Letter of Intent for Acquisition” with the preliminary confirmed transaction counterpart. The specific transaction method, plan, share issuance price, and valuation arrangements will be negotiated and determined by all parties later.

By September 2025, Dongyangguang Industrial will lead the acquisition of all of Qinhuai Data’s operations in China. Public reports indicate that many Chinese companies competed for Qinhuai Data at that time, but ultimately, Dongyangguang and its controlling shareholders formed the winning buyer group among many bidders.

In January this year, Dongyangguang announced the completion of the transaction to acquire 100% of Qinhuai Data China, with a total deal value of 28 billion yuan. In this transaction, Dongyangguang and its related party, Dongyangguang Industrial, jointly increased their capital in Dongshu No.1. Dongyangguang planned to invest 3.5 billion yuan, and Dongyangguang Industrial 4 billion yuan. After the capital increase, they held approximately 46.67% and 53.33% of Dongshu No.1, respectively. Dongyangguang became a shareholder of Dongshu No.1, indirectly holding equity in Qinhuai Data.

According to Tianyancha, as of now, the number of shareholders of Dongshu No.1 has increased to 19. Besides Dongyangguang, other shareholders include state-owned assets of Yidu City, “Qianzhan” retail investors, Fujian state-owned assets, Yunfeng Venture Capital, Foshan state-owned assets, and Fuzhou state-owned assets. Shenzhen Dongyangguang Industrial exited the direct shareholder list on January 28, and Yichang Dongyangguang No.1 Data Investment & Operation Partnership (Limited Partnership) became the new largest shareholder, backed by Oriental Asset Management and Shenzhen Dongyangguang Industrial.

2. Impressive Performance of Qinhuai Data

Public information shows that Qinhuai Data mainly operates in the data center sector. It was listed on NASDAQ and was privatized in 2023 through a buyout initiated by Bain Capital. By the end of 2023, Bain Capital successfully privatized Qinhuai Data Group at a total valuation of about $3.16 billion, and delisted it in December 2023.

Qinhuai Data’s China operations focus on infrastructure planning for the information technology industry ecosystem, forming large-scale clusters of IT infrastructure across the Beijing metropolitan area, Yangtze River Delta, Guangdong-Hong Kong-Macao Greater Bay Area, Zhongwei, and Qingyang in the northwest. It is also a core computing power supplier for ByteDance.

In terms of scale and market share, as of May 31, 2025, Qinhuai Data’s data centers in China had a total IT capacity of 782 MW, with 137 MW under construction. According to the “China Computing Power Center Service Providers Analysis Report (2024)” by China Academy of Information and Communications Technology, Qinhuai Data ranks second among Chinese IDC service providers in overall scale, capacity building, and financial health.

Financial data shows that in 2024 and the first five months of 2025, Qinhuai Data China achieved revenues of 6.047 billion yuan and 2.607 billion yuan, respectively; net profits of 1.309 billion yuan and 745 million yuan. As of the end of May 2025, the company’s net assets were 9.504 billion yuan.

3. Dongyangguang Faces Significant Financial Pressure

Data indicates that Dongyangguang’s main businesses include electronic components, high-end aluminum foil, new chemical materials, energy materials, liquid cooling technology, and embodied intelligence.

In the secondary market, before the suspension, Dongyangguang’s stock price had risen sharply, with a current market value of 113.8 billion yuan. Since February 2026, the stock price has increased by over 38%. In 2025 alone, the stock price has nearly doubled, with a total increase of about 100%.

Data shows that in the first three quarters of 2025, Dongyangguang achieved revenue of 10.97 billion yuan, up 23.56% year-on-year; net profit of 906 million yuan, up 189.8%. The revenue growth was mainly driven by rising prices of refrigerant products, increased sales of high-end aluminum foil, energy materials, and electronic components.

Notably, as of the end of the third quarter of 2025, Dongyangguang had 5.502 billion yuan in cash and cash equivalents. After deducting restricted funds, the balance was 3.582 billion yuan. However, short-term borrowings reached 8.795 billion yuan, with non-current liabilities due within one year amounting to 1.961 billion yuan, and long-term loans totaling 3.634 billion yuan.

It is also worth noting that as of February 5, 2026, the overall pledge rate of shares held by Dongyangguang’s actual controller reached 78.55%. This indicates significant pressure on both the listed company and its controlling shareholders’ capital chains.