Jamet's Non-GAAP Loss of 390 Million Over Five Years, Plans Cross-Border Acquisition for Transformation; Target Premium Rate of 584.5%, Earn-Out Agreement with Four-Year IPO Timeline

Changjiang Business Daily News ● Reporter Xu Jia

“First Mobile Phone Case Stock” Jiemet (300868.SZ) is venturing into new industries again.

Recently, Jiemet announced an external investment plan. The company plans to purchase a 21.4979% stake in Shenzhen Daimond Technology Co., Ltd. (hereinafter “Daimond”) with 129 million yuan in cash. After the transaction, Daimond will become an associated company of Jiemet.

Notably, for Jiemet, which started with mobile phone cases, investing in Daimond—mainly engaged in nano-conductive diamond coating micro-tools—is an important attempt to expand its industrial layout. In this deal, Daimond’s overall valuation reaches 600 million yuan, a 584.5% premium over its book net assets.

Although no performance commitments are set, both parties have signed a “betting” agreement that Daimond will go public by December 31, 2029.

It’s worth noting that this is not Jiemet’s first cross-industry move. In June 2025, Jiemet planned to restructure with Siten Helix (Tianjin) Technology Co., Ltd. (hereinafter “Siten Helix”) in an attempt to enter the computing power sector, but the plan failed.

Earlier, Jiemet’s earnings forecast showed that in 2025, the company expects a net profit attributable to shareholders of listed companies (hereinafter “net profit attributable to the parent”) of a loss between 44 million and 64 million yuan, and a net profit after deducting non-recurring gains and losses (hereinafter “deducted non-recurring profit”) of a loss between 67 million and 97 million yuan. Since 2021, Jiemet’s main business has been continuously loss-making, with a total five-year deducted non-recurring profit loss exceeding 390 million yuan.

Target company has no performance commitments, aiming to go public by the end of 2029

According to the transaction plan, Jiemet will acquire a 21.4979% stake in Daimond for 129 million yuan in cash, funded by its own and raised funds. After the transaction, Daimond will become an associated company of the listed company.

Data shows that Daimond was founded in 2016, mainly engaged in nano-conductive diamond coating micro-tools, transparent conductive glass, and surface high-adhesion metal coating services.

In the first 11 months of 2024 and 2025, Daimond achieved operating revenues of 66.6725 million yuan and 100 million yuan, with net profits of -8.6184 million yuan and 13.0588 million yuan, respectively. The net cash flow from operating activities was 2.0624 million yuan and -5.911 million yuan.

As of the end of November 2025, Daimond’s total assets were 185 million yuan, including accounts receivable of 60.4776 million yuan; total liabilities of 97.3291 million yuan, and net assets of 87.6678 million yuan.

Based on asset valuation results and friendly negotiations among the parties, the valuation of 100% equity of Daimond is 600 million yuan, and the 21.4979% stake is valued at 129 million yuan.

The Changjiang Business Daily notes that this valuation of 600 million yuan represents a 584.5% increase over Daimond’s book net assets.

It is also noteworthy that, despite the high premium, no performance commitments are set, but a “betting” agreement on going public is established.

The announcement states that after the investment, if Daimond fails to go public by December 31, 2029—including not receiving acceptance letters for initial public offering from the Shanghai, Shenzhen, or Beijing Stock Exchanges by December 31, 2028, or being acquired by a listed company through share issuance (based on the announcement date)—Jiemet has the right to require all founding shareholders to jointly repurchase all or part of their Daimond shares at that time.

Additionally, before Daimond’s successful listing, if Daimond decides to increase registered capital, issue any form of equity securities or bonds, Jiemet has the right to subscribe on equal terms ahead of potential subscribers and other shareholders.

Regarding the purpose of this investment, Jiemet states that it aims to expand its industrial layout, create new growth points, achieve resource sharing, technological complementarity, and market synergy with the target company, establish strategic partnerships, jointly explore industry growth potential, inject new vitality into long-term development, improve profitability and sustainable operation, and generate continuous, stable returns for the company and all shareholders.

Main business has been loss-making for five consecutive years

In fact, this is not Jiemet’s first cross-industry investment.

In June 2025, Jiemet planned to acquire control of Siten Helix with cash. After completion, Siten Helix would become a controlling subsidiary of Jiemet.

At that time, Jiemet stated that this would expand its product capabilities in computing servers, AI management software, and cloud computing, leveraging its abundant customer resources and sales channels in mobile smart terminal protection products to enrich its product portfolio, enhance technological capabilities, and broaden market space.

However, due to disagreements on core terms, Jiemet announced in December 2025 that it would terminate the restructuring plan with Siten Helix, marking the end of its foray into the computing power sector.

Four months after terminating this plan, Jiemet again planned to venture into new industries, aiming to break out of its performance slump through external acquisitions.

The Changjiang Business Daily notes that Jiemet, originally known for its mobile phone cases, listed on the ChiNext in August 2020, becoming the “No. 1 Mobile Phone Case Stock” in A-shares. But in its first year, its performance declined, and the following year, its main business suffered losses.

From 2020 to 2024, Jiemet’s deducted non-recurring profit was 89.81 million yuan, -5.702 million yuan, -158 million yuan, -133 million yuan, and -27.5557 million yuan, with year-on-year changes of -33.15%, -106.35%, -2667.25%, 15.49%, and 79.34%.

Recently, Jiemet’s earnings forecast shows that in 2025, the company expects a net profit attributable to shareholders of 44 million to 64 million yuan, and a deducted non-recurring profit of 67 million to 97 million yuan.

Since 2021, Jiemet has experienced five consecutive years of deducted non-recurring losses, accumulating losses exceeding 390 million yuan.

Regarding the expected loss in 2025, Jiemet explains that although its own brand revenue increased compared to the previous year, domestic ODM/OEM customers reduced orders due to business changes, and overseas customers shifted supply chains to Southeast Asia due to tariffs and geopolitical factors, leading to a decrease in overall revenue and gross profit.

Additionally, currency market fluctuations increased financial expenses, and increased marketing expenses also impacted performance.

However, the secondary market responded positively to Jiemet’s investment in Daimond. After the announcement, on March 23, Jiemet’s stock hit the daily limit, closing at 46.33 yuan per share, up 19.99%.

Editor: ZB