NanFang Precision(SZ:002553) Zheng Quan Zhi Xing·2025-08-29 17:47Core Viewpoint - Jiangsu Nanfang Precision Co., Ltd. plans to issue shares to specific investors to raise funds for expanding its production capacity in the precision bearing and automotive component sectors, aligning with national policies supporting the automotive and bearing industries [9][12][24]. Group 1: Company Overview - Jiangsu Nanfang Precision Co., Ltd. was established on May 8, 1998, with a registered capital of 348 million yuan, focusing on manufacturing bearings and automotive components [8]. - The company aims to enhance its market competitiveness and profitability through the proposed fundraising and investment projects [12][24]. Group 2: Industry Background - The bearing industry is a strategic sector in China, with significant government support and policies promoting its development, particularly in the context of the automotive industry [9][12]. - The global bearing market reached approximately $120.98 billion in 2023, with a projected compound annual growth rate (CAGR) of 9.5% from 2023 to 2030 [9][11]. Group 3: Fundraising Purpose and Use - The total amount to be raised is capped at 187.53 million yuan, with funds allocated to projects including the construction of precision industrial bearing production lines and precision brake and transmission component production lines [15][20]. - The projects aim to expand production capacity and optimize product structure, thereby enhancing the company's ability to meet market demands and improve profitability [21][24]. Group 4: Market Trends and Opportunities - The automotive industry in China is experiencing rapid growth, with production and sales expected to reach 31.28 million and 31.44 million vehicles in 2024, respectively, marking a year-on-year increase of 3.7% and 4.5% [11][21]. - The demand for precision bearings, particularly in the automotive sector, is expected to rise significantly due to the increasing production of electric vehicles and the shift towards intelligent automotive systems [12][22]. Group 5: Project Implementation and Feasibility - The company has established a strong foundation in precision machinery and has accumulated extensive experience in production management and quality control, which supports the successful implementation of the proposed projects [26][30]. - The projects align with national policies aimed at enhancing the competitiveness of the domestic bearing industry and are expected to contribute to the company's sustainable development [24][32].