MEIG has signed a shareholders’ agreement with Zhaoge Venture and Suzhou Xingyuan Optronic Technology on 4 September 2026 to create MeiG Optoelectronics (Shanghai) Technology Co., Ltd. The new vehicle will be incorporated in Shanghai’s Minhang District with registered capital of RMB100 million (USD13.70 million), positioning MEIG for expansion from wireless to optical communications aimed at AI data-centre connectivity.

MEIG will contribute RMB70.00 million (70% equity) in cash, funded through internal resources and/or bank loans, while Zhaoge Venture and Xingyuan Optronic will inject RMB20.00 million (20%) and RMB10.00 million (10%) respectively. All partners must complete their contributions within 60 months of establishment. The joint venture will be fully consolidated into MEIG’s financial statements.

Corporate governance will comprise a shareholders’ meeting as the top decision-making body, a single executive director and one supervisor—both nominated by MEIG for three-year terms—and an operating management team led by a general manager appointed by the executive director. Equity transfers are restricted for the first three years unless all shareholders agree in writing.

Strategically, the partners will combine MEIG’s listed-company platform, Zhaoge Venture’s industry network and management expertise, and Xingyuan Optronic’s indium-phosphide laser chip technology. Initial development will focus on R&D and equipment procurement, followed by production-line build-out, market expansion and customer validation, and culminating in large-scale deployment and additional investment as market demand evolves.

Regulatory Implications: Because Zhaoge Venture is controlled by MEIG’s chairman Wang Ping, the transaction is classified as a connected transaction under Hong Kong Listing Rule 14A. With the highest applicable percentage ratio below 5% but above 0.1%, the deal requires announcement and reporting only, without independent shareholder approval. Directors Wang Ping, Du Guobin and Xia Youqing—partners of Zhaoge Venture—abstained from the board vote. No other directors reported material interests.

MEIG expects the joint venture to strengthen its competitive positioning by integrating wireless and optical technologies, targeting the rising demand for high-speed, low-latency connectivity in AI data centres.