Deloitte China assists major asset restructuring of Shenzhen Original Advanced Compounds with CSRC approval
1st cross-border share swap of a foreign strategic investment under the new Measures for the Administration of Strategic Investments by Foreign Investors in Listed Companies
Deloitte China assisted the registration of major asset restructuring of Shenzhen Original Advanced Compounds Co. ("Original Advanced Compounds", stock code: 603991), a cable polymer material manufacturing company. The transaction was approved by the China Securities Regulatory Commission (CSRC) on 4 September 2025 after having also been approved by the Merger & Acquisition Review Committee of the Shanghai Stock Exchange (SSE). The transaction involved the acquisition of major assets and raising matching funds through a combination of share issuance and cash payment.
Original Advanced Compounds acquired Advanced Assembly Materials International (AAMI), a supplier of semiconductor lead frames, through a composite structure involving asset and cross-border share swaps. This project is the first cross-border share swap since the implementation of the new Measures for the Administration of Strategic Investments by Foreign Investors in Listed Companies.
The transaction was approved by M&A Review Committee of the SSE. (From left) Cici Chen, Deloitte China's Audit & Assurance (A&A) manager; Vivienne Li, A&A partner; Cloris He, Southern Region Offering Services partner of the Capital Market Services Group; and Linda Wang, A&A senior manager
Client overview
Original Advanced Compounds was founded in December 2004. Its key businesses include cable polymer materials and dedicated equipment for semi-conductors. It became listed on Shanghai Stock Exchange on 8 March 2017.
The target company in this transaction, AAMI, has production capacity strategically located in China and overseas. Its customers include Internet Download Managers for global semiconductors and major packaging and testing foundries.
Upon completion of the transaction, Original Advanced Compounds holds approximately 99.97% of AAMI, incorporating the full value chain of semiconductor lead frame businesses—including research & development, design, manufacturing, and sales—thereby realizing its strategic transformation toward a focused presence in the semiconductor industry chain. ASMPT Hong Kong Holding will become a substantial shareholder of Original Advanced Compounds and its parent company, ASMPT, which is a supplier in semiconductor packaging and assembly equipment.
This project serves as a pioneering demonstration of an A-share listed company introducing a global semiconductor industry leader as a strategic shareholder. It will strongly promote synergistic development between the domestic and international semiconductor industries and help guide high-quality foreign investment into the A-share capital market for long-term investment.
Deloitte’s role
Deloitte China, as a core service provider to the major asset restructuring engagement of Original Advanced Compounds, provided professional audit services for the target company and was deeply involved throughout the process of Original Advanced Compounds’ major asset restructuring, including acquiring asset via share issuance and cash payment, raising matching funds and accumulating valuable project experience.
When executing the project, Deloitte China formed a team of top-tier professionals from both domestic and international offices, fully committed to delivering excellence. With extensive professional expertise, deep industry knowledge, a strong work ethic, and a diligent and responsible approach, Deloitte China was recognized by Original Advanced Compounds, AAMI, and the other participating parties with high appreciation for Deloitte China's role.
Deloitte China warmly congratulates Original Advanced Compounds on its being approved by the CSRC to issue shares and make cash payments to purchase assets and raise matching funds. We will continue to provide high quality professional services and outstanding resources integration to assist more clients to take one-step ahead in today's increasingly competitive and complex business environment.
Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities (collectively, the “Deloitte organization”). DTTL (also referred to as “Deloitte Global”) and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see About Deloitte to learn more.
Deloitte China provides integrated professional services, with our long-term commitment to be a leading contributor to China’s reform, opening-up and economic development. We are a globally connected firm with deep roots locally, owned by our partners in China. With over 20,000 professionals across 31 Chinese cities, we provide our clients with a one-stop shop offering world-leading audit, tax and consulting services.
We serve with integrity, uphold quality and strive to innovate. With our professional excellence, insight across industries, and intelligent technology solutions, we help clients and partners from many sectors seize opportunities, tackle challenges and attain world-class, high-quality development goals.
The Deloitte brand originated in 1845, and its name in Chinese (德勤) denotes integrity, diligence and excellence. Deloitte's global professional network of member firms now spans more than 150 countries and territories. Through our mission to make an impact that matters, we help reinforce public trust in capital markets, enable clients to transform and thrive, empower talents to be future-ready, and lead the way toward a stronger economy, a more equitable society and a sustainable world.
This communication contains general information only, and none of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms or their related entities (collectively, the “Deloitte organization”) is, by means of this communication, rendering professional advice or services. Before making any decision or taking any action that may affect your finances or your business, you should consult a qualified professional adviser.
No representations, warranties or undertakings (express or implied) are given as to the accuracy or completeness of the information in this communication, and none of DTTL, its member firms, related entities, employees or agents shall be liable or responsible for any loss or damage whatsoever arising directly or indirectly in connection with any person relying on this communication. DTTL and each of its member firms, and their related entities, are legally separate and independent entities.
