Shenzhen Lihexing (SZ:301013) Zheng Quan Zhi Xing·2025-08-07 11:10Fundraising Plan - The total amount of funds to be raised is not more than 167.5 million yuan, with the net amount after deducting issuance costs to be used entirely for the semiconductor equipment precision components R&D and industrialization project [1][2] - The project aims to enhance the production capacity of semiconductor equipment precision components, laying a solid foundation for future business development [1][2] Project Details - The project will be implemented by Lihexing Jiangmen, located in Jiangmen, Guangdong Province, with a total investment of up to 132.506 million yuan and a planned use of raised funds amounting to 117.5 million yuan, with a construction period of 24 months [2] - The semiconductor industry is crucial for China's technological independence, with a growing demand driven by advancements in AI, consumer electronics, and automotive electronics [2][3] Market Opportunity - The semiconductor equipment industry is experiencing significant growth, with global spending expected to reach 49.6 billion USD, a 35% year-on-year increase, and projected sales of semiconductor manufacturing equipment to hit 125.5 billion USD by 2025, growing over 7% [2][3] - The domestic market for semiconductor equipment components is expanding, supported by strong national policies and funding, creating a favorable environment for local suppliers [3][5] Competitive Advantage - The company focuses on smart equipment and specialized components, integrating various technologies to enhance its product offerings and core competitiveness [4][6] - The company has established long-term relationships with major clients such as Huawei and BYD, enhancing its brand recognition and market influence [5][6] Technical Capability - The company has a rich technical background in smart manufacturing, with 44 invention patents, 143 utility model patents, and 275 software copyrights, ensuring a competitive edge in the semiconductor sector [7] - The project has received necessary approvals, including the investment project filing certificate, and is expected to yield an internal rate of return of 15.08% with a payback period of 7.85 years [7][8] Financial Impact - The fundraising will enhance the company's asset scale and financial flexibility, supporting business growth and improving operational efficiency [8][9] - Although there may be a temporary decline in earnings per share during the construction phase, the project is expected to boost overall profitability and shareholder returns in the long run [9]