STOCKS | Xingye Technology Says Its Products Do Not Involve Optical Module Customers

Xingye Technology said it currently has no products involving optical module customers after its shares triggered an abnormal trading fluctuation notice. According to Jin10, the company said its stock’s closing-price decline over two consecutive trading days deviated by more than 20%, meeting the criteria for abnormal volatility under relevant Shenzhen Stock Exchange trading rules. Xingye Technology said it released a voluntary disclosure announcement on June 21, 2026, regarding the signing of a framework agreement to acquire assets related to an indium phosphide business. The company said the proposed acquisition still needs to be submitted to its board of directors for review, and there remains uncertainty over whether the transaction can be completed. The company said the indium phosphide business it plans to acquire has industry characteristics including long customer certification cycles and high entry thresholds. It added that the assets to be acquired are currently focused on commonly available 2-inch and 3-inch indium phosphide substrates, mainly used for detectors. Xingye Technology said the yield rate for VGF single crystals is currently relatively low. It added that the verification threshold for 4-inch products is relatively high and there may be a risk that customer verification does not pass. The company said all of its current products do not involve optical module customers.