Xiantong Stock(SH:603239) Zhong Zheng Wang·2026-01-08 13:20Core Viewpoint - Zhejiang Xiantong plans to raise up to 1.05 billion yuan through a private placement of A-shares, focusing on intelligent manufacturing of automotive frameless sealing strips, upgrading its R&D center, and supplementing working capital [1] Fundraising Plan - The company intends to invest 705 million yuan in the intelligent manufacturing project for automotive frameless sealing strips, which has a total investment of 853 million yuan and is located in the Xianju County Economic Development Zone [2] - The project aims to add an annual production capacity of 67.7 million meters of frameless sealing strips, addressing the current capacity gap and meeting the growing order demands from mainstream automakers [2] - An additional 95 million yuan is allocated for upgrading the R&D center to enhance research capabilities, while 250 million yuan will be used to supplement working capital [2] Strategic Choice - The private placement is a strategic decision to expand and upgrade production capacity, meeting the stringent requirements of new customers and projects in a rapidly growing market [3] - The company aims to transition from a "product supplier" to a "strategic partner" for customers by strengthening technical barriers and optimizing financial structure [3] Industry Background - The global automotive industry is undergoing significant changes with the electrification and intelligentization of vehicles, leading to a high-quality development phase for new energy vehicles [3] - According to the China Association of Automobile Manufacturers, new energy vehicle sales in China are projected to reach 12.87 million units in 2024, with a penetration rate of 46.1% [3] - The demand for frameless sealing strips is expected to surge as frameless doors gain popularity in new energy vehicles, with projected sales of 2.31 million units in 2024 and a penetration rate of 21.2% [3] Company Position - Zhejiang Xiantong has nearly 30 years of experience in the automotive sealing strip industry and has established strong technical and market barriers [4] - The company is the first domestic enterprise to achieve mass production of frameless sealing strips, holding 27 patents related to core technologies, including 9 invention patents [4] - The customer base includes major automakers such as SAIC Volkswagen, SAIC General Motors, and Geely, with 11 models of frameless sealing strips already in mass production and 4 new projects under development [4] - Financial data shows steady growth, with revenues of 936 million yuan, 1.066 billion yuan, and 1.225 billion yuan for the years 2022 to 2024, and a gross margin of 28.49% in 2024 [4]