China IPO Digest: Kunshan TopA Lists On ChiNext; Yanmade Seeks To Raise $99m In STAR Market

Kunshan TopA Intelligent Equipment Co., Ltd, that manufactures and sells industrial machinery, on Thursday, raised 347 million yuan ($48 million) in its IPO on the ChinNext board of the Shenzhen Stock Exchange. Meanwhile, test focused equipment provider Shenzhen Yanmade Technology Inc seeks to raise 706 million yuan ($99 million) on the Nasdaq-like STAR Market of the Shanghai Stock Exchange.

Kunshan TopA nets $48m in ChiNext IPO

Kunshan TopA Intelligent Equipment Co., Ltd, that manufactures and sells industrial machinery, raised 347 million yuan ($48 million) in its IPO on the ChinNext board of the Shenzhen Stock Exchange.

The company, which initially filed its prospectus on May 14, sold a total of 12 million common shares at a price of 28.18 yuan ($3.9) each. It opened at 37.20 yuan ($5), up 12.40 per cent compared to the IPO price. Its stock closed at 40.58 yuan ($5.7), according to the bourse.

Kunshan TopA primarily produces smart modules and devices for the auto and consumer electronics industries. Its top clients include cable assembly provider Siemens, Luxshare Precision, Hon Hai Precision Industry, Quanta Computer, and CRRC Electronic Vehicle, among others.

Proceeds from the IPO will be used to expand its manufacturing base besides complementing working capital.

Its shares are listed under the symbol “300836”. The state-backed Everbright Securities acted as its principle underwriter of the deal.

Legend Capital-backed Yanmade seeks to raise $99m in STAR Market

Test focused equipment provider Shenzhen Yanmade Technology Inc seeks to raise 706 million yuan ($99 million) on the Nasdaq-like STAR Market of the Shanghai Stock Exchange.

Backed by Lenovo Group’s Legend Capital, Yanmade plans to offer up to 35.87 million common shares at a price of 19.68 yuan ($2.7) apiece.

Huatai United Securities with a focus on investment bank service is acting as a lead underwriter of the deal.

Founded in 2012, Yanmade is engaged in test equipment business. Driven by new technologies such as artificial intelligence (AI), image processing and machine visual learning, it designs and manufactures intelligent devices to test malfunction for flexible printed circuit (FPC) and production automation. Its products are exported to the US, Japan, Korea, Thailand, the Philippines and Taiwan.

According to the prospectus, the company booked 270 million yuan ($38 million) in annual revenue and net profit of 91 million yuan ($13 million) in 2019.

Yanmade will invest a part of the proceeds in test equipment innovations, R&D center construction besides keeping some as operating funds.