Since the beginning of this year, the wave of “A+H” listings has remained strong. According to Wind data, the number of companies listed on both the A-share and H-share markets has risen to 182 so far. Hard-tech enterprises in sectors including semiconductors, artificial intelligence and new energy have become the main driving force behind this expansion.
For instance, on March 9th, Shenzhen Zhaowei Electromechanical Co., Ltd. (hereinafter “Zhaowei Electromechanical”) officially listed and started trading on the Main Board of the Hong Kong Exchanges and Clearing Limited. In this global offering, the company issued a total of 26,748,300 H-shares, including 2,674,900 H-shares offered in the Hong Kong public offering and 24,073,400 H-shares in the international offering. At the offer price of HK$71.28 per share, the net proceeds received by the company amounted to approximately HK$1.828 billion.
On the same day, Nanjing Estun Automation Co., Ltd. also listed on the Main Board of the Hong Kong Stock Exchange. It issued a total of 96,780,000 H-shares globally at an offer price of HK$15.36 per share, raising a total of approximately HK$1.486 billion.
In addition, several leading hard-tech enterprises have completed their “A+H” layouts successively since February.
In the semiconductor sector, on February 9th, Montage Technology Co., Ltd. (hereinafter “Montage Technology”) was successfully listed on the Main Board of the Hong Kong Stock Exchange, officially becoming an “A+H” dual-listed company. Montage Technology is not only the inventor of the DDR4 “1+9” distributed buffer memory subsystem architecture, but also a pioneer in DDR5 technologies. As a board member of JEDEC, the global standardization organization for the microelectronics industry, the company has also led the formulation of international standards for a variety of chips.
On February 11th, Wuxi Lead Intelligent Equipment Co., Ltd. listed on the Hong Kong Stock Exchange, achieving an “A+H” dual capital platform layout. The company offered 108 million H-shares globally, with 8.7% allocated to the Hong Kong public offering and 91.3% to the international offering. At the final offer price of HK$45.80 per share, the net proceeds from the global offering reached approximately HK$4.796 billion.
Yuan Shuai, Deputy Secretary-General of the China Internet of Things Industry Alliance, stated: “The ‘A+H’ dual listing brings multi-dimensional new opportunities for the development of hard-tech enterprises. At the capital level, this model has a significant demonstration effect, providing a referable capital market path for more hard-tech enterprises. It helps attract long-term capital inflows, eases financial pressure on corporate R&D and expansion, and promotes the industry into a development stage driven by both capital and technology. In terms of technological innovation, with stronger capital support, leading enterprises will boost R&D investment across the industry and accelerate breakthroughs and industrial applications of core technologies. Meanwhile, dual listing also offers a replicable model for the global development of hard-tech enterprises, helping them expand overseas markets with the support of international capital markets and enhance the share and influence of Chinese brands in the global market.”
Jiang Han, Senior Researcher at Pangoal Institute (Beijing) Information Consulting Co., Ltd., pointed out: “Listing in Hong Kong allows enterprises to build an international capital bridge, greatly reducing financing costs for cross-border mergers and acquisitions and overseas factory construction. It supports companies in transforming from ‘product going global’ to ‘capacity and capital going global’.”