Anhui Anfu Battery Technology Co Ltd: A Strategic Expansion in the Battery Sector

In a significant move within the battery industry, Anhui Anfu Battery Technology Co Ltd, a leading player in the development and manufacturing of lithium batteries, has been making headlines with its strategic decisions aimed at strengthening its market position. Based in Hefei, China, Anhui Anfu operates exclusively within the country and is listed on the Shanghai Stock Exchange. As of August 20, 2025, the company’s shares closed at 35.95 CNH, with a 52-week high of 36.94 CNH and a low of 21.1 CNH, reflecting a robust market presence with a market capitalization of 6.94 billion CNH.

Recent Market Performance

On August 22, 2025, the Shanghai Stock Exchange witnessed a notable surge, with the SSE Composite Index closing at 3825.76 points, marking a 1.45% increase and surpassing the five-day moving average. Among the 575 A-shares that broke through this average, Anhui Anfu Battery Technology Co Ltd stood out with a significant price increase, highlighting investor confidence in its strategic initiatives.

Strategic Acquisition of Anfu Energy

In a strategic move to consolidate its position in the battery sector, Anhui Anfu Battery Technology Co Ltd announced plans to acquire a 31% stake in Anfu Energy, a key subsidiary involved in the research, production, and sales of batteries. This acquisition, valued at 11.52 billion CNH, will increase Anhui Anfu’s stake in Anfu Energy from 62.25% to 93.26%. The transaction, which involves issuing shares and paying cash, is expected to enhance Anhui Anfu’s control over its core assets and further solidify its leadership in the battery industry.

Background and Strategic Shift

Anhui Anfu’s journey from a traditional retail business to a battery manufacturing powerhouse is a testament to its strategic agility. The company, once known as Anli (605198), faced challenges from e-commerce and market competition, prompting a strategic pivot in 2019. Under the new leadership of East Precision’s founders, the company embarked on a transformative journey, culminating in the acquisition of a controlling stake in Anfu Energy in 2022. This move marked a successful transition from retail to battery manufacturing, positioning Anhui Anfu as a leader in the domestic battery market.

Market Impact and Future Outlook

The acquisition of Anfu Energy is expected to have a positive impact on Anhui Anfu’s financial performance. In the first half of 2025, the company reported a 4.98% increase in revenue and a 14.38% rise in net profit, driven by its dominant position in the battery market. With South Fu batteries maintaining a leading market share for 32 consecutive years, Anhui Anfu’s strategic expansion is poised to further enhance its competitive edge.

As Anhui Anfu Battery Technology Co Ltd continues to navigate the dynamic landscape of the battery industry, its strategic acquisitions and focus on core competencies underscore its commitment to innovation and growth. Investors and industry observers will be keenly watching the company’s next moves as it seeks to capitalize on the burgeoning demand for battery technology in China and beyond.