Gasgoo Munich-On June 3, lithium iron phosphate (LFP) material producer Hunan Yuneng New Energy Battery Material Co., Ltd. released a pre-disclosure announcement on share reductions. CATL and Jinsheng New Materialss, two shareholders holding stakes exceeding 7%, simultaneously initiated plans to reduce their holdings.
The filing shows CATL intends to reduce its holding by no more than 25.3 million shares, or 3% of total equity, while Jinsheng New Materials plans to sell 21.08 million shares, representing 2.5%. Both have set the reduction period from June 26 to September 25, utilizing either centralized bidding or bulk trading.
Image Source: Hunan Yuneng
As of the announcement, the two shareholders held 7.10% and 7.12% respectively. If the reduction is completed in full, both stakes will fall below 5%. The company stated that this move aligns with the shareholders' normal capital allocation and investment planning, adding that it will not affect business cooperation or alter the company's status of having no controlling shareholder. Previously, another shareholder, Hunan Yuneng, had already reduced its stake to 4.9999% by the end of May, matching the reduction pace of the two aforementioned investors.
Regarding fundamentals, Hunan Yuneng has reported rapid growth in revenue and profit over the past two years. Full-year 2025 revenue reached 34.63 billion yuan, up 53.22% year-on-year, while net profit attributable to shareholders climbed 115.18% to 1.28 billion yuan. In the first quarter of 2026, revenue rose 121.31% to 14.97 billion yuan, with net profit increasing more than 13-fold to 1.36 billion yuan.
On the capital operations front, Hunan Yuneng announced in May that it is preparing for an H-share listing to establish an international financing platform. The project requires approval from internal shareholder meetings and clearance from multiple domestic and overseas regulators.
