PhiChem Corp’s Strategic Moves in the Chemicals Sector

In a significant development for Shanghai-based specialty chemical and material company, PhiChem Corp, the company has announced a series of strategic acquisitions and corporate decisions that could reshape its market position. Listed on the Shenzhen Stock Exchange, PhiChem Corp, known for its diverse range of products including optical fiber coatings and electronic materials, is making bold moves to enhance its intellectual property portfolio and corporate structure.

Acquisition of JNC Group’s Display Liquid Crystal Patents

On May 28, 2025, PhiChem Corp revealed plans for its wholly-owned subsidiary, Hang Cheng, to acquire all display liquid crystal-related patents from JNC Group. This acquisition, valued at 2.12 billion CNY (including taxes), is part of a broader strategy to strengthen PhiChem’s foothold in the display technology sector. Additionally, Hang Cheng is set to purchase 100% of the equity in JNC Suzhou for 1.70 billion CNY (including taxes). This move not only expands PhiChem’s patent portfolio but also positions it as a more formidable player in the competitive display materials market.

Corporate Governance and Structural Changes

In tandem with the acquisition, PhiChem Corp has been active in restructuring its corporate governance and investment strategies. The company’s fifth Supervisory Board meeting, held on May 28, 2025, resulted in several key decisions aimed at optimizing its operational and financial framework. These include changes to the equity structure of certain investment projects and the approval of capital increases for Hang Cheng, which will see JNC acquiring a 5.10% stake in the subsidiary through a cash investment.

Investor Relations and Product Development

In response to investor inquiries, PhiChem Corp has clarified its product development focus. The company confirmed that it does not currently have products compatible with MXD6 high-performance engineering plastics or related dispersible dyes. Additionally, PhiChem’s semiconductor materials are primarily utilized in advanced semiconductor packaging processes, with no current involvement in the “electronic skin” industry or GPU encapsulation materials.

Market Position and Future Outlook

With a market capitalization of 10.93 billion CNY and a price-to-earnings ratio of 33.1009, PhiChem Corp’s recent strategic decisions could significantly impact its financial performance and market valuation. The acquisition of JNC Group’s patents and the restructuring of its investment projects reflect PhiChem’s commitment to innovation and growth in the chemicals sector. As the company continues to navigate the complexities of the global market, these moves may well position it for enhanced competitiveness and profitability in the years to come.

For more detailed information on PhiChem Corp’s strategic initiatives and financial performance, investors and stakeholders are encouraged to visit the company’s official website at www.phichem.com.cn .