Weizhi Holdings (01305.HK) Information Technology Equipment Sector Analysis and Valuation Fairness Assessment

Weizhi Holdings (01305.HK) belongs to the information technology equipment sector [1]. According to internal analysis [0], on November 21, 2025, the stock price was HK$0.620, with a daily increase of 1.639%, a trading volume of 12,800 lots, a turnover of HK$136 million, and a P/E ratio of 2.925 times, indicating a relatively low valuation.

As one of the top five lead frame suppliers globally, AAMI uses an assessment method that prioritizes the market approach and supplements it with the asset-based approach [0]. The market approach uses comparable companies’ EV/EBITDA multiple (13.44x) and liquidity discount (23%) for valuation, which aligns with its profitability and industry position [0]. The comparable companies selected are leading enterprises in the same industry, with industry representativeness [0].

The proposed disposed asset (Zhizheng New Materials) is assessed using the asset-based approach, which reflects its liquidation value and is in line with the characteristics of traditional manufacturing [0]. Impairment tests are sufficient, and impairment provisions are made for inventory, equipment, etc. [0].

AAMI’s valuation is RMB 3.526 billion, and the growth compared to 2020 comes from profit accumulation and capacity expansion [0]. The transaction price is determined through negotiation based on the assessment results, and AAMI’s valuation is lower than comparable cases, which does not harm the interests of minority shareholders [0].

###3. Risk Tips

• Valuation Assumption Risk
  : Dependence on industry growth assumptions; if downstream demand is lower than expected, valuation may come under pressure [0].
• Asset Impairment Risk
  : AAMI’s goodwill accounts for 14.27%; if the capacity ramp-up of the Chuzhou factory is not as expected, it may trigger impairment [0].
• Uncertainty of Synergy Effects
  : The transaction pricing does not quantify the synergy effects with the listed company’s semiconductor equipment business [0].

###4. Conclusion
The choice of assessment methods is reasonable and the pricing is fair [0]. It is recommended to pay attention to the progress of capacity release at the Chuzhou factory and the impact of cyclical fluctuations in the lead frame industry on valuation [0].