Kabichi Plans to Increase Stake in Songteng by Up to 10% Within One Year, Share Price Cap at NT$60

Kabichi (6197-TW), a cable connector manufacturer, announced today (3rd) that its board of directors has resolved to acquire up to 10% of Songteng's (3484-TW) shares from the open market within a one-year period from August 3, 2026, to August 2, 2027, at a maximum price of NT$60 per share, with a total transaction value capped at NT$423 million.

Kabichi stated that the purpose of this equity acquisition is for asset allocation and to enhance capital utilization efficiency. Currently, Kabichi holds 3,381 shares (approximately 4.289%) in Songteng, while its subsidiary, Jia Shiqi Investment, holds 1,349 shares (approximately 1.711%). Combined, their stake in Songteng totals 4,730 shares, representing a 6% ownership.

Songteng primarily manufactures electronic control components and offers a range of connectors and Busbar products, which are widely applied in electric vehicles, energy storage systems, and server cabinets.

With the rapid expansion of cloud computing and AI applications, data centers are increasingly demanding standardized and modularized platforms. The OCP (Open Compute Project) architecture has become a key global trend in infrastructure deployment, and Songteng continues to advance the integration of its products with OCP standards.

Meanwhile, Kabichi has been aggressively expanding its AI power supply portfolio in recent years. Products such as ORV3 high-current power cables, Busflow, and Busbar have obtained dual certification from NVIDIA (NVDA-US) and OCP. These products have entered the supply chains of major CSPs and leading ODMs and are now in mass production and shipment, serving as one of the primary growth drivers for the second half of the year.