Lens Technology announced on the Hong Kong Stock Exchange that it has signed a share purchase agreement with Lu Songsou, Pemgol International, Yuanshi Technology, and Lu Shaohua to conditionally buy about 2.989 million Pemgol ordinary shares—59.7805% of total issued share capital—for $25 million. After the deal, Pemgol International will become a controlled subsidiary of Lens Technology, with the target group's financials consolidated.
The deal is the substantive execution of an earlier letter of intent. In December 2025, Lens Technology signed an intent agreement to acquire 100% of Pemgol. In June 2026, it first injected RMB 50 million into core operating entity Yuanshi Technology (Zhejiang) for a 14.28% stake. The announcement noted the remaining 40.22% will be negotiated based on actual operations, audit, and valuation results, with uncertainty.
Registered in Samoa, Pemgol does not operate directly; its core asset is a 95.1164% stake in Yuanshi Technology, which makes and sells server racks and structural components (frames, rails, trays, busbars) and server liquid-cooling modules.
The most direct value lies in Yuanshi's supply chain qualification. Yuanshi has entered Nvidia's supply chain and holds Nvidia RVL recommended vendor list certification, one of only five companies globally with it. Per Securities Times, Yuanshi supplies MGX Rack frames and rail systems for Nvidia's GB200/GB300 series and has joined the development team for Nvidia's next-gen Vera Rubin platform as a core developer. Capacity-wise, related companies have completed expansion of AI server structural parts and liquid-cooling systems at the Dongguan Songshan Lake park, passed audits by leading domestic and international customers, won formal orders, and are in mass production ramp.
Lens Technology started in consumer electronics precision structural parts, with smartphones and PCs still the revenue base: H1 2025 total revenue was RMB 32.96 billion, of which smartphones and PCs contributed RMB 27.185 billion. With AI compute demand surging and liquid cooling becoming mandatory for high-power chips, Lens has made AI hardware its second growth curve. It said the acquisition quickly brings mature server rack technology, customer certification, and liquid-cooling system integration, complementing its precision structural parts and "material-module-system" vertical integration.
The liquid cooling logic is power-driven. Per Yongxing Securities, Nvidia GB300 TDP is expected to rise to 1,400W, and next-gen Rubin Ultra GPUs could reach 2,300W; per ASHRAE standards, liquid cooling is recommended when chip TDP exceeds 300W and rack power density exceeds 40kW. Yuanshi's combined rack and liquid-cooling module capability lands right at this technology transition.
The transaction is not a related-party deal or major asset restructuring, requiring no board or shareholder approval. The $25 million consideration is about RMB 172 million, funded by own or self-raised funds. The announcement noted the agreement is subject to conditions precedent and may change or fail. After closing, whether Yuanshi can hold and expand share in Nvidia's next-gen platform ramp, whether Songshan Lake capacity keeps pace, and how the remaining 40.22% is integrated will determine the deal's real contribution to Lens's AI compute business.
ICgoodFind Summary: Lens Technology's $25 million buys not just server rack capacity but an Nvidia RVL certification—a supply chain entry ticket. Migrating consumer electronics precision manufacturing into AI liquid-cooling hardware positions it for the GPU power transition from 1,400W to 2,300W.
