Ruili Keimi Seeks 15.2162 Billion Yuan IPO for Automotive Safety Expansion

Guangzhou Ruili Keimi Automotive Electronics Co., Ltd. (Ruili Keimi) has submitted its application for an initial public offering (IPO) on the Shenzhen Stock Exchange's main board, marking a significant milestone for the company. The application status has been updated to "submitted for registration," with CITIC Securities serving as the lead underwriter. The company aims to raise approximately 15.2162 billion yuan through the IPO.

Ruili Keimi is a leading enterprise in the domestic commercial vehicle active safety system market. The company specializes in the research, development, production, and sales of core components for automotive active safety systems and aluminum alloy precision die-castings. This IPO submission underscores Ruili Keimi's position as a key player in the automotive safety technology sector, which is crucial for enhancing vehicle safety and reducing accident risks.

The company's core products cover a wide range of technologies, including pneumatic braking/hydraulic braking, electronic braking/line control braking, and are widely used in the braking safety of commercial vehicles, passenger cars, and motorcycles. Through continuous innovation, Ruili Keimi has broken through technological barriers and market bottlenecks, providing high-value products and services to vehicle manufacturers. The company has established itself as a leader in the domestic commercial vehicle active safety system market.

According to the China Association of Automobile Manufacturers, from 2014 to 2023, Ruili Keimi's pneumatic electronic braking products, which include anti-lock braking systems (ABS), have ranked first in production and sales for ten consecutive years. Additionally, from 2021 to 2023, Ruili Keimi's pneumatic electronic braking system products have maintained the top market share in the industry.

In the past three years, Ruili Keimi's commercial vehicle sales have been 330.05 million units, 403.10 million units, and 387.30 million units respectively. Excluding export factors, the company's ABS, ESC, and EBS products have been sold domestically at approximately 79.21 million sets, 95.60 million sets, and 108.13 million sets respectively. Assuming one commercial vehicle is equipped with one set of braking system, Ruili Keimi's ABS, ESC, and EBS products have market shares of 24.00%, 23.72%, and 27.92% respectively in the commercial vehicle sector, maintaining a leading position in the industry.

The funds raised from the IPO, after deducting issuance costs, will be invested in several key projects. These projects aim to enhance the company's production capacity, research and development capabilities, and market presence. The financial performance of Ruili Keimi has been robust, with revenue for 2022, 2023, and 2024 estimated at approximately 13.26 billion yuan, 17.6 billion yuan, and 19.77 billion yuan respectively. The net profits for the same periods are approximately 1.05 billion yuan, 2.39 billion yuan, and 2.75 billion yuan respectively.

Ruili Keimi's IPO submission is a testament to the company's commitment to technological advancement and market leadership. As the automotive industry continues to evolve, Ruili Keimi's focus on active safety systems will be instrumental in driving the development of safer and more reliable commercial vehicles. The successful completion of the IPO will not only provide the company with the necessary financial resources but also enhance its credibility and market standing.