According to the Zhitong Finance App, Zhongji Xuchuang (03308) will raise shares from July 22 to July 27, 2026. The company plans to sell 54.5 million H shares globally (depending on whether the over-allotment rights are exercised), of which Hong Kong sales account for about 10% (can be redistributed), international sales account for about 90% (can be reallocated and depending on whether the over-allotment rights are exercised), and 15% over-allotment rights. The maximum sale price per share is HK$1,010, with 50 shares per lot. It is expected that H shares will start trading on the Stock Exchange at 9:00 a.m. on July 30, 2026 (Thursday).
The company is a leading global provider of optical interconnect solutions. The company's optical interconnect solutions transmit data through optical fibers to enable high-speed, energy-efficient and low-latency connections between servers, switches, and other network devices in increasingly complex and data-intensive cloud and AI infrastructures. The company's main product is an optical module, which can transmit massive amounts of data through mutual conversion of electrical signals and optical signals.
During the record period, the company's customers included cloud service providers and AI computing solution providers. In 2023, 2024, 2025 and the three months ended March 31, 2026, the total revenue from the five major customers for each year/period of the record period was RMB8,039 billion, RMB18.41 billion, RMB 29.056 billion and RMB15.957 billion respectively, accounting for 75.0%, 77.2%, 76.0% and 81.9% of the company's revenue, respectively. Revenue from the largest customers in each year/period of the record period was RMB3,891 billion, RMB5.444 billion, RMB9.202 billion and RMB4.889 billion respectively, accounting for 36.3%, 22.8%, 24.1% and 25.1% of the company's revenue, respectively.
The company has partnered with Temasek (Taibai, True Light), HHLRA, JPM AM (JPMIMI, JPMAMAPL), BlackRock, YF Capital, Aspex, ADIA, Wellington, Perseverance Asset Management, Indus Fund, Mirae Investors (Future Asset Global Investments (Hong Kong), MAS KR, Future Asset Securities (Hong Kong)), NGS Super Fund, Bain Capital, CPE, Boyu Capital, IDG Capital, Ninety One Asia, WT Asset Management, Singularity Asset, Tairen, Hao Fund, Jancher Fund, Alibaba, Tencent, CPP Investments, Oaktree, CP Black Dragon, Chow Tai Fook Enterprise, Athos Capital, TAL Fund, Burkehill, General Atlantic and Huadeng Technology entered into a cornerstone investment agreement. According to this, Cornerstone investors have agreed to subscribe or induce their designated entities to subscribe for the relevant number of shares to be purchased at the offering price (adjusted downwards to the nearest complete trading unit of 50 H shares per lot), with a total amount of approximately US$3.45 billion.
Assuming that the over-allotment rights are not exercised and that the offering price is HK$1,010.00 (the maximum offer price) per share, after deducting underwriting commissions, fees and estimated expenses due from our global offering, we will collect approximately HK$54.512.9 billion in net proceeds from the global offering. According to our strategy, we intend to use the net proceeds for the following purposes, subject to change depending on our evolving business needs and changing market conditions: approximately 35.0% will be allocated to continued investment in optical interconnect product development over the next five years. Approximately 30.0% will be allocated to expand our global production capacity to support our product upgrade route, which is expected to provide an additional annual production capacity of up to 50 million optical modules over the next three years. Approximately 10.0% will be distributed over the next five years to enhance the resilience and commercialization capabilities of our supply chain. Approximately 15.0% will be allocated to strategic acquisitions and investments. Approximately 10.0% will be allocated for working capital and general corporate purposes, including making advance payments to obtain critical materials and components from suppliers.