Aili Home, a listed PVC flooring manufacturer, continued its sharp rally after disclosing a planned acquisition in the semiconductor testing segment. On Aug. 6, the company resumed trading and closed at another one-limit-up session, extending its streak to 10 consecutive limit-up days. Wind data cited in the report showed its share price rose 159.31% from July 21 to Aug. 6.
The move followed a July 20 evening announcement from Aili Home. The company said it had signed an intention agreement with Okanno shareholders Zhao Ming, Tong Shujuan, Anhui Mingde Zhonghe and Anhui Zhonghe, and plans to acquire no less than 77.08% of Okanno in cash and bring it under its control as a subsidiary.
Okanno’s business centers on storage testing equipment and related testing services. Its four product series — GA300, SW400, MS200 and ES100 — cover testing for SSD modules, DDR modules, memory chips and embedded memory, according to the report. The company also provides a full solution built around system-level testing, or SLT, along with professional testing services.
Cross-holding structure drew market attention
The report said the transaction contains a notable reciprocal arrangement. While Aili Home plans to acquire Okanno, Okanno’s actual controller Zhao Ming is also set to take a 20% stake in Aili Home.
Okanno has also made a performance commitment. The article said it promised cumulative net profit excluding non-recurring items of no less than RMB 230 million over four years.
Funding plan disclosed as balance sheet remains tight
One of the main questions around the deal is how Aili Home will pay for it.
According to the company’s disclosure, the acquisition will be funded through a mix of internal funds and self-raised financing, including the disposal of idle assets, bank loans and loans from major shareholders. The planned disposal of idle assets is valued at about RMB 200 million to RMB 300 million.
The company’s existing cash position appears limited. Its first-quarter 2026 report showed monetary funds of RMB 259 million, while short-term interest-bearing debt stood at RMB 277 million. The acquisition itself is expected to cost RMB 500 million.
Core flooring business has been weakening
The report linked the deal to prolonged pressure in Aili Home’s legacy flooring business.
In 2025, both revenue and net profit attributable to shareholders declined. Net profit attributable to shareholders dropped 87.6% year over year to RMB 17.17 million. Losses widened in 2026. The company posted a first-quarter loss of RMB 14.82 million and forecast a first-half loss of RMB 34.5 million to RMB 40.5 million.
Against that backdrop, the cross-sector acquisition has become the company’s biggest capital-market catalyst. The article said the stock’s run lifted Aili Home’s market value from RMB 2.3 billion to RMB 5.46 billion, and by the close on Aug. 6, its total market capitalization had reached RMB 6 billion.
More home furnishing firms have pivoted to AI and semiconductor themes
Aili Home is not alone, according to the report. Over the past year or so, a group of listed home furnishing companies have announced moves into AI, semiconductors or computing-power related businesses, and their stock prices jumped after those announcements.
The article listed several cases:
- Markor Home recorded cumulative losses of more than RMB 3.7 billion over four years. At the end of 2025, it announced the acquisition of 100% of Wandaitai Optoelectronics, an AI server high-speed copper cable company. Its shares rose sharply after trading resumed, and it later introduced an AI computing-power industry investor into its restructuring.
- Zhenai Home was acquired in the fourth quarter of 2025 by AI unicorn Tungee through a “share transfer plus tender offer” deal worth about RMB 1.8 billion for a 44.99% stake, becoming the first A-share manufacturing company controlled by a large-model AI company, the report said. Its stock then hit consecutive limit-ups.
- Fsilon announced in September 2025 that it would spend RMB 250 million to set up an AI subsidiary. Its shares then rose for eight straight sessions, with gains of more than 380% within a year. The report said the company had RMB 900 million in assets while supporting a market value close to RMB 9 billion.
- Golden Mantis rode “commercial space” and “AI computing power” themes to 11 limit-up sessions in 15 trading days, with a cumulative gain of 136.8%. The company later clarified that those businesses accounted for less than 1% of revenue.
The report said a preliminary count found that more than 20 A-share listed companies announced cross-sector moves into semiconductors in 2025, with home furnishing and building materials companies making up the largest share. It tied that trend to the property downturn, stalled growth in core operations and shrinking profits.
Formal agreement still pending
For Aili Home specifically, the transaction remains at the intention-agreement stage. The report noted that the company has repeatedly warned that no formal agreement has been signed and that the deal remains uncertain.
That leaves an open question over how a company forecasting a first-half loss of more than RMB 40 million at the upper end of its range will support a market value of RMB 6 billion.
The article was published via the WeChat account Yuanmeihui and credited to Xie Chunsheng. It said the material was based on official reports and public information.