Core Viewpoint - Tianyu Semiconductor is set to launch its global offering on November 27, with an expected listing on the Hong Kong Stock Exchange on December 5, at an issue price of HKD 58.00 per share, raising between HKD 17.4 billion and HKD 20.1 billion [1][3][27] Group 1: IPO Details - The IPO will consist of 30,070,500 H-shares, with 3,007,050 shares available for Hong Kong public offering and 27,063,450 shares for international offering [2][15] - The underwriting syndicate includes 17 firms, with CITIC Securities as the sole sponsor and CICC, CMBI, and others as joint global coordinators [1][2] Group 2: Valuation and Investment History - Since 2021, Tianyu Semiconductor has completed seven rounds of financing, raising a total of CNY 1.464 billion, with its valuation skyrocketing from CNY 900 million in 2021 to CNY 15.2 billion in November 2024, a nearly 17-fold increase [3][16] - The IPO valuation is set at HKD 22.8 billion, reflecting a 50% increase from the previous round, but the corresponding price-to-sales ratio of 40 times is significantly higher than peers like SMIC and Hua Hong Semiconductor [3][16] Group 3: Investor Participation - The cornerstone investor participation is low, with only two investors, Guangdong Original Forest and Glory Ocean, committing a total of HKD 160 million, representing only 9.3% of the offering size [3][18] - Both cornerstone investors lack prior experience in cornerstone investments, indicating a cautious market sentiment towards the company's valuation [3][18] Group 4: Financial Performance and Challenges - The company has shown unstable financial performance, with revenues of CNY 437 million, CNY 1.171 billion, and CNY 520 million from 2022 to 2024, and net profits fluctuating significantly [7][21] - Despite a 180% increase in sales volume in the first three quarters of 2025, revenue growth is hindered by declining product prices and inventory clearance strategies [21][22] Group 5: Inventory and Cash Flow Issues - The company faces significant inventory pressure, with total inventory rising from CNY 134 million in 2022 to CNY 441 million in 2023, leading to a substantial inventory impairment of CNY 352 million in 2024 [10][24] - Cash flow remains tight, with operating cash flow of only CNY 61 million against revenues of CNY 2.57 billion in early 2025, necessitating reliance on external financing [12][26] Group 6: Market Outlook and Risks - The company's market capitalization post-IPO may not meet the HK Stock Connect threshold of HKD 10 billion, potentially limiting liquidity and trading activity [5][19] - The overall outlook for Tianyu Semiconductor's IPO is challenging, with high valuations, liquidity concerns, and operational pressures requiring close monitoring by investors [27]
天域半导体启动全球发售：估值一年涨50%对应市销率超40倍 销量增长难掩单价下滑与库存压力