Group 1 - The report by Ernst & Young indicates that the IPO markets in mainland China and Hong Kong contribute 16% of global IPO numbers and 33% of total fundraising [1] - The A-share market has transitioned from a focus on scale expansion to prioritizing quality, with a notable increase in the number of IPOs and fundraising scale this year [1] - The average fundraising amount for A-share IPOs is expected to increase by over 50% by 2025, reaching 1 billion yuan, driven by a rise in the proportion of IPOs raising over 10 billion yuan [1] Group 2 - The A-share market is playing a crucial role as an "industry cultivator," providing initial capital support for hard technology companies from R&D to production [2] - The Hong Kong IPO market is projected to recover strongly in 2025, with fundraising surpassing 200 billion HKD, marking the second-highest level in five years [2] - The "A+H" dual listing model is expected to remain popular, with over 20 A-share companies anticipated to list in Hong Kong, raising a total of over 170 billion HKD [2]

Core Viewpoint - The recent move by Shouchao Securities to apply for H-share listing in Hong Kong is a strategic step towards internationalization, aiming to enhance capital strength and expand cross-border business opportunities, particularly in asset management and investment sectors [1][3][4]. Group 1: Listing Strategy - Shouchao Securities has submitted its H-share listing application to the Hong Kong Stock Exchange, marking a significant advancement in its international strategy [1][3]. - The company has appointed four major underwriters for the IPO, indicating a strong commitment to the issuance process [1][3]. - The H-share issuance is expected to raise several billion Hong Kong dollars, significantly bolstering the company's capital base [3][4]. Group 2: Strategic Objectives - The listing aims to open international capital market financing channels, creating a more resilient capital structure to meet increasing capital consumption demands in the industry [4][5]. - The company seeks to leverage Hong Kong's status as an international financial center to expand cross-border business, catering to the needs of Chinese enterprises going abroad and attracting overseas capital [4][5]. - Enhancing brand recognition and credibility in international capital markets is a key goal, which will help attract top international talent and strengthen overall competitiveness [4][5]. Group 3: Financial Performance - Shouchao Securities has seen its market capitalization double since its A-share listing in December 2022, with a current market value of approximately 581.11 billion yuan [6]. - The company has demonstrated strong financial growth, with revenue increasing from 9.31 million yuan in 2017 to 24.18 million yuan in 2024, a nearly 160% increase [6][8]. - The average return on assets (ROA) and return on equity (ROE) for 2024 ranked first and seventh, respectively, among A-share listed securities firms, indicating efficient capital utilization [7]. Group 4: Business Focus - The IPO proceeds will primarily support the development of core asset management and investment businesses, as well as enhance IT and technological investments for digital transformation [8][9]. - Investment business has become a major growth driver, with a revenue increase of 56.07% year-on-year in the first half of 2025 [8][9]. - The asset management segment, despite a decline in performance in the first half of 2025, has maintained a compound annual growth rate of 15.8% from 2022 to 2024, reaching an asset management scale of 165.5 billion yuan [9].