Core Viewpoint - The company, Guangdong Jingsheng New Energy Co., Ltd., is attempting to list on the Hong Kong Stock Exchange for the second time after its initial application lapsed in December 2024, amid significant financial losses and market volatility in the lithium battery recycling sector [1]. Financial Performance - The company has experienced a "roller coaster" financial performance, with revenues declining from 29.05 billion yuan in 2022 to 9.37 billion yuan in the first half of 2025, indicating a continuous downward trend [2]. - The company reported a profit of 1.51 billion yuan in 2022 but has since incurred losses of 4.71 billion yuan in 2023, 3.44 billion yuan in 2024, and 1.44 billion yuan in the first half of 2025, totaling over 10 billion yuan in losses over the past three and a half years [2]. Market Conditions - The core reason for the company's losses is attributed to the drastic decline in prices of lithium carbonate, nickel, and cobalt, leading to a situation where product prices are lower than production costs [2]. - The average price of lithium carbonate plummeted from 426,900 yuan per ton in 2022 to 62,300 yuan per ton in the first half of 2025, representing a cumulative decline of over 80% [4]. Customer Concentration - The company's sales are heavily reliant on a few major clients, with revenue from the top five customers accounting for 52.7% to 67.3% of total revenue during the reporting period, indicating increasing customer concentration [2]. - The largest single customer contributed 13.9% to 45.2% of total revenue over the same period, raising concerns about the company's dependency on a limited customer base [2]. Accounts Receivable - The turnover days for trade receivables increased from 38 days in 2022 to 56 days in the first half of 2025, a nearly 50% rise, which is significantly higher than the industry average [3]. - The high customer concentration and low collection efficiency create a negative feedback loop, where major clients demand extended payment terms, increasing the risk of bad debts for the company [3]. Valuation and Ownership - The company was founded by the Li brothers in 2010 and has undergone multiple rounds of financing, with its valuation fluctuating significantly, peaking at 12 billion yuan in March 2023 and dropping to 6.2 billion yuan in July 2024 before recovering to 7.6 billion yuan in November 2024 [5]. - The current valuation has decreased by over 30% from its peak, reflecting the volatility in the industry [5]. Strategic Direction - In response to industry fluctuations, the company aims to establish a closed-loop industry model from "recycling to regeneration" to mitigate reliance on market conditions for profitability [5].

Core Viewpoint - The rapid growth of the domestic electric vehicle market since 2020 has led to an increasing focus on the disposal and recycling of retired power batteries, with Jinsheng New Energy's IPO highlighting its business model and operational challenges [1][3]. Group 1: Company Overview - Jinsheng New Energy's core business is lithium battery recycling and regeneration, establishing a circular economy model by connecting downstream applications with upstream material production [3]. - The company is the second-largest lithium battery recycling enterprise globally, with production bases in Zhaoqing, Yichun, and Ganzhou to address the upcoming peak of retired batteries [3]. Group 2: Market Dynamics - According to a report by Frost & Sullivan, the total amount of retired lithium batteries in mainland China is expected to reach 455,100 tons in 2024, with 54.9% from power batteries and 44.8% from consumer electronics [3]. - The total volume of retired lithium batteries in China is projected to surge to 4.8 million tons by 2031, with a compound annual growth rate of 40.1% from 2024 to 2031 [3]. Group 3: Financial Performance - Jinsheng New Energy reported a net profit of 151 million yuan in 2022, but faced losses in the subsequent two years: a net loss of 471 million yuan in 2023 and a projected net loss of 344 million yuan in 2024 [4][6]. - The company's financial challenges are attributed to significant fluctuations in raw material prices, particularly lithium carbonate, which dropped from 426,900 yuan per ton in 2022 to 80,100 yuan per ton in 2024 [4][6]. Group 4: Operational Challenges - The company faces competition from both battery manufacturers and third-party recyclers, with the latter needing to establish collection points and partnerships to acquire retired batteries [4]. - Jinsheng New Energy's gross profit has been pressured by both product prices and raw material costs, leading to a nearly doubled inventory impairment loss in 2023 compared to 2022 [4][6]. - To improve profitability, the company plans to optimize procurement and inventory management, diversify product offerings, and enhance operational efficiency [4][6]. Group 5: Industry Outlook - The lithium battery recycling market is still in its early development stages, requiring continuous investment to establish market position [7]. - Jinsheng New Energy must navigate price volatility and differentiate itself amid competition from automakers with their own recycling systems [7].

Core Viewpoint - Jinsheng New Energy has submitted a second IPO application to the Hong Kong Stock Exchange on September 3, 2025, after a failed attempt in December 2024. The company aims to leverage growth opportunities in the global lithium battery recycling market while addressing challenges such as price volatility and financial risks [1][8]. Industry Position and Core Business Layout - Market Position: Jinsheng New Energy ranks second globally in lithium battery recycling by sales revenue in 2023, maintaining its position as the largest third-party recycler in 2024 [2]. - Products and Applications: The company specializes in key materials such as lithium carbonate, nickel sulfate, and cobalt sulfate, which are essential for electric vehicle batteries, energy storage systems, and consumer electronics [2]. - Capacity Layout: Jinsheng has established three production bases in Zhaoqing, Yichun, and Ganzhou, focusing on the recycling of ternary lithium batteries and lithium iron phosphate batteries [2]. Shareholder and Financing Background - Notable Shareholders: The company has prominent investors including Fosun International, Dacheng Venture Capital, Shaanxi Automobile, GAC Group, and Bosch. In May 2025, it completed a financing round, receiving 148 million yuan from Jiangxi Dongliang [3]. Financial Performance: Revenue Fluctuations and Ongoing Losses - Revenue Trends: The company's revenue fluctuated from 1.133 billion yuan in 2021 to 2.905 billion yuan in 2022, then slightly decreased to 2.892 billion yuan in 2023. In 2024, revenue dropped to 2.157 billion yuan, with a further decline to 937 million yuan in the first half of 2025, representing a year-on-year decrease of 5.83% [5]. - Losses: After a profit of 151 million yuan in 2022, cumulative losses reached nearly 960 million yuan from 2023 to the first half of 2025, primarily due to falling product prices, inventory write-downs, and increased administrative and R&D expenses [5]. Core Product Prices and Deteriorating Debt Servicing Ability - Price Declines: The average price of lithium carbonate plummeted from nearly 400,000 yuan per ton in 2022 to less than 60,000 yuan per ton in the first half of 2025, a decrease of 85%. Nickel sulfate and cobalt sulfate prices also fell by 34% and 50%, respectively [6]. - Short-term Debt Risks: As of June 2025, the current ratio and quick ratio were both only 0.5, with net current assets at -1.029 billion yuan, indicating a significant deterioration in short-term debt servicing ability [6]. - Customer and Supplier Concentration: In the first half of 2025, the top five customers accounted for 67.3% of sales, with the largest single customer representing 45.2%. The top five suppliers accounted for 51.4% of purchases, with the largest supplier at 35.2%, raising concerns about supply chain stability [6]. Listing Challenges and Future Plans - Core Risk Factors: The cyclical nature of the lithium battery raw material market leads to significant price fluctuations, which can mismatch revenue and costs, as seen with the sharp decline in lithium carbonate prices in 2023 that triggered losses [7]. - Capacity Expansion Pressure: The company is advancing the construction of a lithium iron phosphate battery processing line at its Ganzhou base, but faces risks of industry overcapacity and intensified price competition that could further compress profits [7]. Fundraising Purpose - The funds raised from the IPO will be used to enhance the retired battery recycling network, improve R&D capabilities, attract industry talent, and supplement working capital to alleviate short-term debt pressures and meet operational needs [8].

Group 1: IPO Market Overview - The IPO market is showing signs of normalization with a trend of "streamlined reviews and highlighted opportunities" as of September [2] - This week, only two companies were reviewed by the Shanghai and Shenzhen Stock Exchanges, both of which were approved [2] - China Uranium Corporation achieved over 17 billion yuan in revenue, making it the second-largest IPO of the year after Zhongce Rubber [2] Group 2: Company Highlights - China Uranium Corporation focuses on the comprehensive utilization of natural uranium and radioactive co-associated mineral resources, holding a dominant position in the domestic market [3] - The company reported revenues of 17.279 billion yuan and a net profit of 1.712 billion yuan for 2024 [3] - Aoxin Electric, listed on the Hong Kong Stock Exchange, saw its stock price drop 7% on its debut, closing at 16.73 HKD per share, with a market capitalization of 25.727 billion HKD [4] - Aoxin is the fifth-largest air conditioning provider globally, with a market share of 7.1% [4] Group 3: New Listings - Jiangyin Huaxin Precision Technology Co., Ltd. successfully listed on the Shanghai Stock Exchange, focusing on precision stamping cores for electric vehicles and other applications [5] - The company raised 814 million yuan through its IPO, with a share price increase of over 300% on its first trading day [5] - Guangdong Jinsheng New Energy Co., Ltd., the largest third-party lithium battery recycling company, has filed for an IPO in Hong Kong [6][8] Group 4: Upcoming Companies - Light Health Group has submitted a second application for an IPO on the Hong Kong Stock Exchange, focusing on digital health services and insurance solutions [9] - Yipin Nutrition Technology Group, the second-largest goat milk powder brand in China, has also applied for a listing on the Hong Kong Stock Exchange [10] - Tianchen Biopharmaceuticals is seeking to list in Hong Kong, focusing on innovative drugs for allergic and autoimmune diseases [11]

Group 1: Hong Kong Stock Exchange Performance - The total market capitalization of the Hong Kong Stock Exchange reached HKD 46.6 trillion by the end of August 2025, a 47% increase from HKD 31.8 trillion in the same period last year [1] - The average daily trading volume in August 2025 was HKD 279.1 billion, up 192% from HKD 95.5 billion year-on-year [1] - These positive figures indicate enhanced attractiveness of the Hong Kong Stock Exchange and increased vitality in the capital market, suggesting a favorable outlook for future market development [1] Group 2: Goldman Sachs Target Price Adjustment - Goldman Sachs raised the target price for Hong Kong Stock Exchange from HKD 509 to HKD 524, maintaining a "Buy" rating [2] - The firm noted that the exchange is improving market efficiency and aligning with international standards through simplified trading and settlement fee structures [2] - Despite lowering the forecast for margin income due to anticipated changes in interbank lending rates, Goldman Sachs increased its earnings per share estimates for the exchange [2] Group 3: Company Listings and Developments - Guangdong Jinsheng New Energy Co., Ltd. submitted a prospectus to the Hong Kong Stock Exchange, marking its second attempt after a previous application expired in December 2024 [3] - Jinsheng New Energy is a leading provider of lithium battery recycling solutions, ranking second globally and first in third-party recycling [3] - The company has faced losses due to declining product prices, but a successful listing could provide necessary capital to expand its operations and alleviate financial pressures [3] Group 4: XGIMI Technology's IPO Plans - XGIMI Technology announced plans to issue shares overseas (H-shares) and apply for a listing on the main board of the Hong Kong Stock Exchange [4] - Founded in 2013, XGIMI specializes in new display technologies, focusing on smart projectors and laser TVs, with multiple core technologies and capabilities [4] - The move to list in Hong Kong is expected to facilitate the company's expansion into overseas markets and support its development in the automotive sector [4] Group 5: Hong Kong Stock Market Indices - The Hang Seng Index closed at 25,058.51, down 1.12% on September 4 [5] - The Hang Seng Tech Index fell by 1.85% to 5,578.86 [5] - The National Enterprises Index decreased by 1.25%, closing at 8,937.09 [5]

Core Viewpoint - Guangdong Jinseng New Energy Co., Ltd. (Jinseng New Energy), the world's second-largest lithium battery recycling and regeneration company, has submitted a listing application to the Hong Kong Stock Exchange, with CICC and CMB International as joint sponsors [1] Financial Performance - Revenue for Jinseng New Energy from 2022 to 2024 is projected to be approximately RMB 2.905 billion, RMB 2.891 billion, and RMB 2.157 billion respectively, with a revenue of RMB 937 million in the first half of 2025, representing a year-on-year decrease of 5.83% [2] - The company reported a net profit of RMB 151 million in 2022, but incurred losses of RMB 471 million in 2023 and RMB 344 million in 2024, with a loss of RMB 144 million in the first half of 2025, slightly widening year-on-year [2] Product Pricing and Market Conditions - The average selling price of lithium carbonate products dropped from RMB 396,300 per ton in 2022 to RMB 196,400 per ton in 2023, a decline of 50.44%, and further decreased to RMB 85,800 per ton in the first half of 2024, down 64.1% compared to the first half of 2023 [3] - Despite an increase in sales volume of lithium carbonate, nickel sulfate, and cobalt sulfate products compared to 2022, the significant price drop of these products has led to operational losses in 2023 [2][3] Cash Flow and Debt Situation - Cash and cash equivalents decreased from RMB 211 million at the end of 2022 to RMB 37 million by mid-2025, indicating a potential liquidity issue [3] - As of June 2025, the company had RMB 1.8 billion in bank loans due within one year, which cash and cash equivalents cannot cover, highlighting short-term repayment risks [3] Ownership Structure - Jinseng New Energy was founded by the Li brothers from Guangdong, each holding an average of 20% of the shares since the company's inception in 2010, collectively controlling approximately 55.05% of the voting rights prior to the IPO [3]

Core Viewpoint - Guangdong Jinsheng New Energy Co., Ltd. has submitted a second listing application to the Hong Kong Stock Exchange, aiming to enhance its capital for lithium battery recycling and regeneration business [3]. Company Overview - Jinsheng New Energy was established in 2010 and focuses on lithium battery recycling and regeneration, headquartered in Zhaoqing, Guangdong Province [3]. - The company previously attempted to list on the Shenzhen Stock Exchange in December 2022 but terminated the process in August 2024 [3]. - Jinsheng New Energy is ranked 1183rd in the Hurun Global Unicorn List with a valuation of 7.3 billion RMB [3]. Financial Performance - The company's revenue primarily comes from the sale of recycled products, including lithium carbonate, nickel sulfate, and cobalt sulfate, with over 79% of total revenue derived from lithium and nickel recycling products in the first half of 2025 [4]. - The total revenue figures for various products in 2022 and 2023 indicate a slight fluctuation, with total revenue of 2.9 billion RMB in 2022 and 2.89 billion RMB in 2023 [4]. Strategic Initiatives - In May 2023, Jinsheng New Energy signed a contract for a comprehensive utilization project for retired batteries in Huanggang, Hubei, with an investment exceeding 10 billion RMB, aiming to achieve an annual processing capacity of 400,000 tons of retired batteries [5].

Core Viewpoint - Jinsheng New Energy has submitted a listing application to the Hong Kong Stock Exchange, with CICC and China Merchants International as joint sponsors [1] Company Overview - Jinsheng New Energy is a leading provider of lithium battery recycling and regeneration solutions, ranked second globally and first in third-party recycling [1] - The company's operations include the recycling of ternary lithium batteries and lithium iron phosphate batteries, with products widely used in electric vehicles, energy storage systems, and consumer electronics [1] Market Potential - The global market for lithium battery recycling and regeneration solutions is expected to grow rapidly, with a projected processing scale of 20.6 million tons by 2031 and a compound annual growth rate (CAGR) of 48.1% [1] Production Facilities - Jinsheng New Energy has three production facilities located in Zhaoqing, Guangdong Province, and Yichun and Ganzhou in Jiangxi Province, with its retired lithium battery regeneration capacity and regenerated product output ranking second in the world [1]

Core Viewpoint - The strategic cooperation agreement between Tianqi Co., Ltd. and Yiwei Lithium Energy aims to establish a closed-loop system for lithium battery manufacturing, application, reverse recycling, and regeneration, enhancing industry resilience and promoting sustainable development [2][3]. Group 1: Cooperation Framework - The agreement includes the establishment of an efficient information-sharing mechanism to exchange market supply and demand, price dynamics, and technological trends [3]. - Both companies will collaborate to build a global recycling network, enhancing overall recycling efficiency through resource sharing and cooperative development [2][4]. - Yiwei Lithium Energy will prioritize the procurement of regenerated key materials from Tianqi Co., Ltd. under equal conditions, including direct purchases and waste material exchanges [4][5]. Group 2: Market Position and Financial Performance - Tianqi Co., Ltd. reported a revenue of 1.247 billion yuan and a net profit of 55.83 million yuan in the mid-2025 report, with the lithium battery recycling division generating 137 million yuan in revenue and a gross margin of 0.79%, up 6.94% year-on-year [3][4]. - The company has established a recycling capacity of 100,000 tons of waste lithium batteries, achieving a lithium carbonate recovery rate of 92%-93% [3][4]. Group 3: Global Expansion and Sustainability - Tianqi Co., Ltd. has laid out recycling networks or crushing capacities in regions such as Japan, South Korea, Southeast Asia, and Europe, with a significant increase in the proportion of overseas battery waste expected by the second half of 2025 [4]. - The cooperation is a key part of Yiwei Lithium Energy's global strategy to build a supply chain system, reducing reliance on primary mineral resources while stabilizing raw material supply and lowering costs [4][5]. - The recycling network is central to Yiwei Lithium Energy's ESG competitiveness, with the use of regenerated materials reducing the carbon footprint of each kWh battery by 35% [5].

Group 1 - The "Lithium Green Action" research team from Jiangxi University of Science and Technology has successfully developed a short-process green recycling technology for waste lithium batteries, addressing the challenge of efficient lithium resource recycling [1] - The new technology has been applied in multiple enterprises in Jiangxi, processing a total of 17,000 tons of waste batteries and generating an additional output value of over 170 million yuan [1] - Traditional lithium battery recycling faces three main challenges: high reagent consumption in hydrometallurgical processes, lithium loss during pyrometallurgical smelting, and complex combined process flows [1] Group 2 - The team introduced the "waste-to-waste synergy" concept to tackle the high costs and low selectivity of lithium extraction in traditional hydrometallurgical processes [1] - They pioneered flue gas resource utilization technology, achieving a lithium extraction selectivity rate exceeding 97% and reducing lithium extraction costs by approximately 20% compared to traditional methods [1] - The team developed a "layered roasting technique" to efficiently destroy the stable structure of lithium cobalt oxide batteries, resulting in a 66.71% reduction in water leaching residue, thereby lowering the recovery difficulty and costs for valuable metals like cobalt and nickel [1] Group 3 - In processing lithium iron phosphate batteries and sulfur-containing waste, the team innovatively combined waste lead-acid battery recovery with waste lithium iron phosphate battery co-smelting, achieving lithium recovery rates of 96% and lead recovery rates of 98% [2] - The co-smelting process also effectively fixed sulfur generated during melting, achieving a sulfur fixation rate of 99% [2] - Collaborations with companies like Jiangxi Tianqi Jintai Ge Co., Ltd. have resulted in an additional output value of over 40 million yuan within two years [2] Group 4 - The team has applied for seven national invention patents in the battery recycling field, with two patents granted and one international patent applied for [2] - The commitment to "rejuvenate every retired battery" reflects the potential of this technology to inject new momentum into Jiangxi's lithium battery recycling industry [2]