Core Viewpoint - The company has entered into a cornerstone investment agreement with Seres and CICC, committing to invest a total of 20 million USD in investor shares, which is seen as strategically significant for diversifying revenue sources and providing sustainable returns to shareholders [1] Group 1 - The cornerstone investment agreement is set to be executed on October 23, 2025 [1] - The total investment amount for the investor shares is 20 million USD [1] - The board believes that the transaction will enhance the company's business outlook and prospects [1]

Core Viewpoint - Hesai Technology's stock price has dropped significantly, reaching a new low since its listing, indicating potential challenges in market performance and investor sentiment [1]. Group 1: Stock Performance - Hesai Technology's stock closed at HKD 171.40, with a decline of 4.725%, and hit an intraday low of HKD 166.80, marking a new record low since its IPO [1]. - The stock price has fallen below the initial public offering price [1]. Group 2: IPO Details - Hesai Technology was listed on the Hong Kong Stock Exchange on September 16, 2025, with a total of 19,550,000 shares offered globally, including 1,955,000 shares for the Hong Kong public and 17,595,000 shares for international investors [1]. - The final offer price was set at HKD 212.80, with a maximum indicative price of HKD 228.00, raising a total of HKD 4,160.24 million, and a net amount of HKD 4,005.25 million after expenses [3]. Group 3: Use of Proceeds - Approximately 50% of the net proceeds from the IPO is planned for research and development investments, 35% (around HKD 1,297.1 million) for production capacity investments, 5% for business development, and 10% for working capital and general corporate purposes [3]. Group 4: Cornerstone Investors - Major cornerstone investors include HHLRA, Taikang Life, WT Asset Management, Grab Inc., Hongda Group, and Commando Global Fund, with HHLRA being the largest investor contributing USD 50 million [4].

Core Viewpoint - The insurance capital's participation as cornerstone investors in Hong Kong IPOs has surged significantly this year, with subscription amounts exceeding HKD 3.44 billion, approximately three times that of the same period last year, indicating a shift in investment strategy amidst low interest rates and asset scarcity [1][2]. Group 1: Investment Trends - Insurance funds are increasingly focusing on "hard technology" and new consumption sectors, including automotive, digital solutions, home appliances, semiconductors, and energy storage devices [3][10]. - Major insurance companies like Taikang Insurance and China Pacific Insurance have actively participated in multiple IPOs, with Taikang alone investing over HKD 1.4 billion across five companies [2][3]. Group 2: Market Dynamics - The Hong Kong IPO market has seen a revival, with a total fundraising amount of HKD 182.9 billion in the first three quarters of 2025, making it the highest globally [10]. - The number of IPO applications being processed has reached a record high of 289, reflecting a robust market environment [10]. Group 3: Risks and Challenges - Despite the potential for increased returns, cornerstone investments carry risks such as market volatility, liquidity constraints due to lock-up periods, and uncertainties related to the Hong Kong dollar's exchange rate and interest rate environment [1][11]. - The rapid technological changes in the hard tech sector pose challenges for insurance companies' existing research and investment frameworks, making it difficult to adapt to fast-evolving market conditions [11].

Core Viewpoint - SANY Heavy Industry (600031) is launching an IPO for 580 million H-shares, with a price range of HKD 20.3 to 21.3, aiming to raise approximately HKD 11.926 billion for global expansion and R&D enhancement [1][3]. Group 1: Company Overview - Founded in 1994, SANY Heavy Industry is a leading global player in the engineering machinery sector, focusing on the R&D, manufacturing, sales, and service of a full range of machinery products [1]. - The company ranks as the third largest globally and the largest in China based on cumulative revenue from core engineering machinery products from 2020 to 2024 [1]. - SANY's products are sold in over 150 countries, with 57.4% of total revenue coming from international markets as of April 30, 2025 [1]. Group 2: Financial Performance - The company has demonstrated strong financial resilience, with revenues of RMB 80.839 billion, RMB 74.019 billion, RMB 78.383 billion, and RMB 29.426 billion for the years 2022, 2023, 2024, and the first four months of 2025, respectively [4]. - Gross margin improved from 22.6% in 2022 to 26.4% in 2023, reaching 27.1% in the first four months of 2025 [4]. - Net margin increased from 5.5% in 2022 to 6.2% in 2023, further rising to 11.8% in the first four months of 2025 [4]. Group 3: Use of Proceeds - Approximately 45% of the net proceeds from the IPO will be allocated to expanding the global sales and service network [3]. - About 25% will enhance R&D capabilities, focusing on smart and low-carbon technologies [3]. - 20% will be used to expand overseas manufacturing capacity and optimize production efficiency, while 10% will support working capital and general corporate purposes [3].

Core Viewpoint - Hesai Technology's stock price has significantly declined, reaching a new low since its listing, indicating potential challenges in market performance and investor confidence [1]. Group 1: Stock Performance - Hesai Technology's stock closed at HKD 169.20, down 6.83%, with an intraday low of HKD 168.30, marking a new record low since its IPO [1]. - The stock has fallen below its initial public offering price [1]. Group 2: IPO Details - Hesai Technology was listed on the Hong Kong Stock Exchange on September 16, 2025, with a total of 19,550,000 shares offered globally, including 1,955,000 shares for Hong Kong and 17,595,000 shares for international investors [1]. - The final offer price was HKD 212.80, with a maximum public offer price of HKD 228.00, raising a total of HKD 4,160.24 million, and a net amount of HKD 4,005.25 million after expenses [3]. Group 3: Use of Proceeds - Approximately 50% of the net proceeds from the IPO are planned for research and development investments [3]. - About 35% (approximately HKD 1,297.1 million) is allocated for production capacity investments to ensure the delivery of high-performance products [3]. - 5% is designated for business development to accelerate expansion, and 10% is for working capital and general corporate purposes [3]. Group 4: Cornerstone Investors - Major cornerstone investors include HHLRA, Taikang Life, WT Asset Management, Grab Inc., Hongda Group, and Commando Global Fund [3]. - HHLRA is the largest cornerstone investor, contributing USD 50 million, followed by Taikang Life with USD 28 million and WT Asset Management with USD 30 million [4].

Core Viewpoint - The rising international gold prices have led to increased attention on Zijin Mining's spin-off of its high-growth gold business, Zijin Gold International, for a Hong Kong IPO Group 1: IPO Details - Zijin Gold International's IPO has attracted 29 cornerstone investors, collectively subscribing for $1.6 billion of the offering shares [1] - Notably, the only industrial capital participating in the IPO is from Shandong Gold Mining's subsidiary, which subscribed for 3.2655 million shares, accounting for 0.94% of the total offering [1] Group 2: Key Investors - Major cornerstone investors include GIC, Hillhouse, BlackRock, and Schroders, with GIC and Hillhouse each investing $150 million, representing 4.68% of the offering shares [2] - Other significant investors include Baillie Gifford, China Pacific Insurance, and Taikang Life, each investing $60 million, representing 1.87% of the offering shares [2] Group 3: Strategic Partnerships - Shandong Gold Mining and Zijin Mining have a deep-rooted relationship, with Zijin Mining acquiring a 20% stake in Shandong Gold Mining for 4.06 billion yuan at the end of 2022 [3] - Both companies are jointly developing the largest single gold mine in China and the first offshore gold mine, with Shandong Gold Mining holding 70% and Zijin Mining 30% of the offshore gold mine [3] Group 4: Growth Potential - Zijin Gold International is projected to have significant growth, with a compound annual growth rate (CAGR) of 61.9% in net profit from 2022 to 2024, and is expected to rank ninth globally in gold reserves and eleventh in gold production by the end of 2024 [6] - The offshore gold mine is expected to achieve an annual production of over 15 tons of gold once fully operational by the end of 2027 [3]

Core Viewpoint - Zhaojin Mining (01818) has announced a cornerstone investment agreement involving its wholly-owned subsidiary, Spico International Limited, with Zijin International and several financial institutions, indicating a strategic partnership aimed at enhancing growth and long-term shareholder returns [1] Group 1: Investment Details - The cornerstone investment agreement was signed on September 17, 2025, with an expected investment amount of USD 30 million, equivalent to a certain amount in Hong Kong dollars [1] - The agreement involves the subscription of shares by the investor at the offer price as part of an international offering [1] Group 2: Company Background - Zijin International is a subsidiary of Zijin Mining (601899), focusing on gold mining, smelting, and sales, and is a significant player in the global gold mining industry [1] - The cornerstone investment is seen as beneficial for deepening the strategic cooperation between Zhaojin Mining and Zijin Mining, which is expected to support the company's growth [1]

Core Viewpoint - The company, AUX Electric (02580), is set to launch an initial public offering (IPO) from August 25 to August 28, 2025, aiming to raise approximately HKD 3.287 billion through the global sale of 207 million shares, with a price range of HKD 16.00 to 17.42 per share [1][3]. Group 1: Company Overview - AUX Electric is one of the top five air conditioning providers globally, involved in the design, research and development, production, sales, and service of both household and central air conditioning systems [1]. - The company has a significant presence in the global air conditioning market, covering over 150 countries and regions, with a market share of 7.1% as of 2024 [1]. Group 2: Financial Performance - The company has demonstrated strong revenue growth, with revenue increasing from RMB 19.528 billion in 2022 to RMB 24.832 billion in 2023 (up 27.2%), and further to RMB 29.759 billion in 2024 (up 19.8%) [2]. - Net profit also saw substantial growth, rising from RMB 1.442 billion in 2022 to RMB 2.487 billion in 2023 (up 72.5%), and to RMB 2.91 billion in 2024 (up 17.0%) [2]. - The net profit margin for the years 2022, 2023, and 2024 was recorded at 7.4%, 10.0%, and 9.8% respectively, with a margin of 10.2% for the three months ending March 31, 2025 [2]. Group 3: Use of Proceeds - Approximately 20% of the net proceeds from the IPO are expected to be allocated to global research and development, 50% for upgrading smart manufacturing systems and supply chain management, 20% for enhancing sales and distribution channels, and 10% for working capital and general corporate purposes [3].

Core Viewpoint - The increasing interest of cornerstone investors, particularly local state-owned enterprises (SOEs), in Hong Kong IPOs is highlighted, with a significant rise in their participation and investment amounts over recent years [5][20]. Group 1: Cornerstone Investors' Role - In 2025, 85.7% of Hong Kong IPOs involved cornerstone investors, a significant increase from 26.5% in 2018, indicating a shift from being a luxury to a necessity for companies [9][11]. - The participation of local SOEs in cornerstone investments has surged, with 16 local SOEs investing a total of 2.557 billion HKD in 13 companies in the first half of 2025, marking a 33.3% increase in participants and a 65.9% increase in investment amount compared to the previous year [15][20]. Group 2: Financial Performance of IPOs - Companies with cornerstone investors saw a median stock price increase of 15.16% and an average increase of 49.08% six months post-IPO, while those without cornerstone investors experienced a median decline of 20.30% [11][12]. - Among the 42 IPOs in 2025 that included cornerstone investors, 86.1% saw their stock prices rise, with 21 companies experiencing gains exceeding 50% [13]. Group 3: Local SOEs' Strategic Interests - Local SOEs are increasingly motivated by industrial objectives, seeking to enhance local industry ecosystems through their investments in IPOs [22]. - Historical data shows that while there have been few cases of companies relocating their registered addresses, many have established production lines or branches in the regions of their investors, indicating a strategic alignment between capital and local industry development [22][24]. Group 4: Case Study - CATL - CATL's IPO in 2025 was the largest globally, attracting 23 cornerstone investors, including significant investments from local SOEs, which have been part of a long-term strategic partnership [25][26]. - The collaboration with local SOEs has allowed CATL to secure stable supplies of critical resources, enhancing its production capabilities and contributing to local economic growth [26].

Core Viewpoint - The article highlights the significant role cornerstone investors play in the Hong Kong stock market, particularly during the A+H listing wave this year, with a notable increase in both the number of A+H companies and the total funds raised compared to the previous year [1][2]. Group 1: A+H Listing Trends - In 2023, 10 A-share companies completed A+H listings in Hong Kong, raising a total of 886.24 billion HKD, marking the highest fundraising record for this period [1]. - The number of A+H companies has increased significantly from zero in the same period last year, indicating a growing trend in international capital's recognition of the Hong Kong market [1][2]. Group 2: Cornerstone Investors' Participation - Leading companies like CATL attracted a substantial number of international cornerstone investors, with 23 participating and international placements accounting for 92.5% of the total [1][4]. - In contrast, non-leading companies saw lower participation from international investors, reflecting a preference for established firms with strong market positions [2][4]. Group 3: Characteristics of Cornerstone Investors - Cornerstone investors are more inclined to invest in leading enterprises due to their strong industry positions and stable profitability, which instills greater confidence [3][4]. - The participation of cornerstone investors often involves mutual benefits, where companies may offer incentives or future collaboration commitments to secure investment [7]. Group 4: International Investor Dynamics - International investors show a higher participation rate in leading A+H companies, particularly in sectors like technology and biomedicine, which are perceived as having growth potential and stability [5][6]. - The decision-making process for international capital prioritizes the industry position and long-term market outlook of companies, assessing investment returns based on these factors [5]. Group 5: Market Outlook - The attractiveness of the Hong Kong stock market is expected to persist, with ongoing trends of A-share companies listing in Hong Kong and increasing southbound capital inflows impacting the valuation of A+H shares [8]. - Recent data indicates that 21.5% of the 251 IPOs filed this year are A-share companies, with a notable increase in international investor participation in Hong Kong IPOs [8].