Group 1 - The trend of A-share companies going public in Hong Kong is gaining momentum, with 10 companies successfully listing on the Hong Kong Stock Exchange since September last year, and dozens more preparing for the process [1] - Leading companies like Luxshare Precision and Changchun High-tech are planning to issue H-shares and list in Hong Kong as part of their global strategy and internationalization efforts [1] - The semiconductor and consumer electronics sectors are particularly active, with 16 A-share companies submitting prospectuses to the Hong Kong Stock Exchange by June 30, significantly higher than the same period last year [1][2] Group 2 - The motivation for companies to list in Hong Kong revolves around global development needs, allowing easier access to global supply chains and attracting overseas partners [2] - The Hong Kong IPO market is becoming increasingly attractive, with an expected fundraising amount of 130 to 150 billion HKD for new listings in 2025 [2] - The "A+H" dual listing model provides diversified financing channels and enhances financing efficiency through mechanisms like "flash placements" [2] Group 3 - Over 30 A-share companies have submitted applications for H-share listings, with more than 20 companies announcing related plans, reflecting improved market liquidity and rising valuation levels in the Hong Kong market [3]

Core Viewpoint - The dual listing model of "A+H" is gaining momentum in China, with Jinjiang Hotels being the first hotel giant to pursue an H-share listing in Hong Kong to enhance its global strategy and connect with international capital markets [1][4]. Company Overview - Jinjiang Hotels plans to issue H-shares not exceeding 15% of its total share capital post-issuance, with an option for an additional 15% through an overallotment [4]. - The company aims to use the raised funds for expanding overseas operations, repaying bank loans, and supplementing working capital, indicating a focus on internationalization despite current performance challenges [4][5]. Financial Performance - In 2024, Jinjiang Hotels reported total revenue of 14.063 billion yuan, a decrease of 4% year-on-year, and a net profit of 911 million yuan, down 9.06% [6]. - The company experienced a significant decline in quarterly performance, with the fourth quarter showing a net loss of 195 million yuan and a gross margin drop of 7.05 percentage points to 33.09% [6][8]. - The limited-service hotel segment, which constitutes 99.37% of its portfolio, saw a revenue decline of 4.62% to approximately 13.58 billion yuan [8]. Market Context - Jinjiang Hotels' move to list in Hong Kong is seen as a catalyst for accelerating its international expansion, providing access to global investors and enhancing its capital structure [11]. - The company has previously faced challenges in its overseas ventures, particularly with the acquisition of the Louvre Hotels Group, which has been underperforming since 2020 [12][14]. - The competitive landscape shows that while Jinjiang remains a leader in scale, its performance contrasts sharply with peers like Huazhu Group and Shoulv Hotels, which have shown growth [9][11]. Future Outlook - Jinjiang Hotels plans to open 1,300 new hotels in 2025, a reduction from 1,515 in 2024, with projected revenue growth of 2% to 7% [14]. - The company’s recent financial results indicate ongoing challenges, with a first-quarter revenue drop of 8.25% and a net profit decline of 81.03% [14]. - The current IPO climate in Hong Kong, with a significant increase in new listings and capital raised, presents a potential opportunity for Jinjiang to secure funding for its international operations [15].