Industry Overview - The Chinese semiconductor and PCB manufacturing industry is expected to continue expanding from 2020 to 2024, driven by technological advancements, large-scale investments in new wafer fabs, rising global electronic application demand, and favorable policies [1] - The semiconductor manufacturing market in China is projected to grow from RMB 256 billion in 2020 to RMB 443.7 billion in 2024, while the PCB manufacturing market is expected to increase from RMB 275 billion to RMB 352.4 billion during the same period [1] Company Profile - Shenzhen Chuangzhi Xilian Technology Co., Ltd. (Chuangzhi Xilian) has submitted a listing application to the Hong Kong Stock Exchange, with Haitong International, Jianyin International, and China Merchants Securities International as joint sponsors [2] - The company specializes in metallization interconnection plating materials and key process technology solutions, focusing on wafer-level and chip-level packaging, as well as the supply chain development of plating materials in the PCB manufacturing sector [2] Financial Performance - Chuangzhi Xilian's revenue has shown steady growth, with annual revenues exceeding RMB 400 million [3] - The company's revenue is primarily derived from two segments: plating materials (80.2% of revenue in 2024) and plating services (19.8% of revenue in 2024) [3] - From 2022 to 2024, the company achieved revenues of RMB 320 million, RMB 312 million, and RMB 410 million, with net profits of RMB 27.3 million, RMB 19.4 million, and RMB 52.7 million respectively [4] Market Dynamics - The demand for wet process plating materials in China is expected to rebound in 2024, driven by rapid growth in end-use sectors such as AI, electric vehicles, and data centers [6] - The market for PCB wet process plating materials is projected to grow from RMB 9.3 billion in 2020 to RMB 10.2 billion in 2024, with a compound annual growth rate (CAGR) of 2.1% [6] - The semiconductor wet process plating materials market is anticipated to grow from RMB 3.6 billion to RMB 4.8 billion during the same period, with a CAGR of 7.6% [6] Competitive Landscape - The Chinese wet process plating materials market is relatively concentrated, with the top ten market participants holding a 63.3% market share as of 2024 [9] - Chuangzhi Xilian ranks sixth among all participants in the Chinese wet process plating materials market, holding a 2.7% market share, and is the largest domestic supplier in this segment [9] - The company is positioned in a high-growth sector, with stable revenue and net profit growth, which could enhance its attractiveness for an IPO [9]