According to the Zhitong Finance APP, DAAE (600178.SH) announced that it has recently received relevant notifications regarding the completion of the business registration procedures for the separation of the Equipment Group into the Equipment Group (the surviving company) and China Changan Automobile (the newly established company). On July 27, 2025, the Equipment Group signed the "Separation Agreement of China North Industries Group Co., Ltd." with China Changan Automobile. According to the separation agreement, 100% equity of Chen Zhi Group held by the Equipment Group before the separation will be transferred to China Changan Automobile, and this separation does not involve any payment.

As a central enterprise fulfilling the responsibilities of the investor on behalf of the State-owned Assets Supervision and Administration Commission of the State Council, China Changan Automobile aims to build a world-class automobile group with global competitiveness and independent core technologies. This separation is beneficial for China Changan Automobile to strengthen, optimize, and expand, assisting the company in creating a world-class automotive power technology enterprise. After this equity change, the indirect controlling shareholder of the company will change to China Changan Automobile, while the actual controller will still be the State-owned Assets Supervision and Administration Commission of the State Council. This equity change will not affect the normal production and operation of the company and does not harm the interests of the company and minority shareholders