HZ Info, As a leader in the domestic matting silica sector, Lingwe Technology has not only solidified its market share in traditional application fields such as coatings and inks but has also long initiated a strategic transformation toward the high-end electronic materials sector. The acquisition of Jiangsu FINETAL Powder Technology Co., Ltd. stands as the most critical step in this transformation. According to its public disclosures, Lingwe Technology acquired a 70% stake in Jiangsu FINETAL for RMB 50.2 million of its own funds. The transaction's industrial and commercial registration change was completed in January 2026.

Jiangsu FINETAL is one of the few domestic technological enterprises that have achieved the industrialization of high-purity, ultra-fine, submicron spherical silica powder using a chemical method. Its core products have passed verification and gained recognition from numerous downstream customers.

Spherical silica powder is a core, critical material for achieving domestic substitution in the semiconductor packaging field and an indispensable high-end basic auxiliary material in the chip industry chain. Lingwe Technology previously responded on investor interaction platforms that its spherical silica powder can be widely used in numerous fields, including electronic circuit substrates, electronic packaging, HBM packaging, electronic adhesive binder plastic particles, film fibers, polishing, special ceramics, and ink coatings.

For a long time, the domestic high-end spherical silica powder market has been monopolized by foreign enterprises such as Japan's Admatechs and Denka. Most domestic companies produce spherical silica powder using physical methods like the flame spheroidization method or high-temperature melting spraying method. While these processes offer cost advantages, the resulting products show significant gaps compared to overseas giants in core indicators such as purity, particle size distribution, and sphericity.

The core competitiveness arising from the combination of Lingwe Technology and Jiangsu FINETAL precisely lies in overcoming the limitations of traditional processes and mastering the chemical preparation technology via the sol-gel method. Compared to physical methods, the chemical method produces ultra-fine nano/micro spherical silica powder by manufacturing silica microspheres from self-produced silica sol. This yields smaller specific surface area, better fluidity, and lower stress—characteristics that are precisely the core requirements of advanced packaging processes like HBM (High Bandwidth Memory) packaging.

In HBM packaging scenarios, silica powder must possess an extremely low alpha particle content to prevent soft errors in chips, while also achieving submicron particle sizes to fit narrower encapsulation gaps. Currently, Jiangsu FINETAL's relevant products have achieved mass production and are generating profits. Its patent-protected chemical method technology also establishes a strong competitive barrier for the company in supplying high-end projects such as M9. With the continuous expansion of the domestic semiconductor industry, the market size for spherical silica powder in China is projected to exceed RMB 20 billion by 2025. Through its breakthrough in chemical method technology, Lingwe Technology is advancing the domestic substitution of high-end spherical silica powder, breaking the long-standing monopoly of foreign enterprises in the high-end market, and opening new space for the development of the domestic high-end spherical silica powder industry.