The CSRC has approved the IPO registration of Honggong Technology on the Shenzhen Stock Exchange's ChiNext.
AInvestThursday, Jan 2, 2025 4:30 am ET
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On January 2, the China Securities Regulatory Commission approved the registration of Honggong Technology Co., Ltd.'s initial public offering. It is reported that Honggong Technology plans to list on the Shenzhen Stock Exchange's GEM, with the IPO sponsor being CITIC Securities, and plans to raise RMB532.02 million.According to the prospectus, Honggong Technology focuses on the research, development, and sales of automated production lines and equipment for powders, granules, liquids, and slurries, and is a material automation solution provider with its own core equipment, spare parts, and software. The Company outputs suitable material automation solutions based on the series of demand elements provided by downstream customers, such as the customer's product types, the physical and chemical properties of the raw materials used by the customer, the customer's new production capacity scale, the quality standards of the products, and the production process routes, and produces production lines or single machine products based on the above solutions, which contain its own core equipment, spare parts, and software, to meet the stable and efficient production manufacturing needs of customers in the lithium battery and positive and negative electrode materials, fine chemicals, etc. industries.In terms of profit model, Honggong Technology mainly provides material automation processing lines and equipment to customers in the lithium battery and positive and negative electrode materials, fine chemicals, etc. industries to meet their stable and efficient production manufacturing needs. The Company outputs suitable material automation solutions based on the series of demand elements provided by downstream customers, such as the customer's product types, the physical and chemical properties of the raw materials used by the customer, the customer's new production capacity scale, the quality standards of the products, and the production process routes, and produces production lines or single machine products based on the above solutions, which contain its own core equipment, spare parts, and software, to obtain operating income in this way.In terms of finance, Honggong Technology achieved operating revenues of approximately RMB579 million, RMB2.178 billion, RMB3.198 billion, and RMB1.459 billion in 2021, 2022, 2023, and 2024Q1-Q3, respectively. During the same period, the Company achieved net profits of approximately RMB50.07 million, RMB298 million, RMB315 million, and RMB111 million, respectively.

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