Chinas Arctech Solar Targets To Raise $206m In STAR Market IPO

Chinese solar tracking and racking systems developer Arctech Solar Holding Co., Ltd is targeting to raise 1.43 billion yuan ($206 million) in an initial public offering (IPO) on Shanghai’s Nasdaq-style STAR Market, according to a company filing. 

The company, which kicked off its subscription exercise on Tuesday, has offered up to 33.93 million yuan ($4.89) apiece at 42.19 yuan ($6.09).

Arctech will use the IPO proceeds to develop its manufacturing base and research centre.

State-owned SDIC Capital’s Essence Securities is acting as the principal underwriter for the deal.

Arctech products are used for solar panel installations across residential communities, commercial buildings, and industrial spaces.

The company claims to have completed nearly 900 projects across 24 countries, and its main overseas markets are Mexico, the UAE, Vietnam, Chile, Australia, Spain, among others. 

The company booked 1.28 billion yuan ($184 million) in sales earning in the first half of 2020, up 37.24 per cent compared to the previous year, per its prospectus. 

Jintong Capital, Oct Capital, Shenzhen-listed Risen Solar Technology and Anhui Golden Bull Holdings Group’s investment arm Tinze Goldenbull Capital had collectively made an investment in Arctech in January 2019.