Core Viewpoint - Jiangsu Benchuan Intelligent Circuit Technology Co., Ltd. plans to issue convertible bonds to raise funds for production projects and working capital, aiming to enhance its production capacity and market competitiveness in the PCB industry [1][2][3]. Company Overview - Jiangsu Benchuan was established on August 23, 2006, and listed on August 5, 2021, with a registered capital of 77.2983 million RMB [17]. - The company specializes in the production and processing of various electronic components, including high-density interconnect boards and flexible printed circuit boards [17][18]. Fundraising Purpose - The funds raised will be used for the construction of production bases in Zhuhai and Thailand, aimed at increasing annual production capacity by 550,000 square meters [2][3]. - The company aims to improve production efficiency and precision through advanced automated production lines, thereby enhancing its ability to meet customer demands and reduce delivery times [24][25]. Market Context - The global PCB industry is projected to grow, with a total market value of 73.565 billion USD in 2024, reflecting a 5.8% increase from the previous year [18][19]. - China remains the largest PCB production base, accounting for 56% of the global market, while Southeast Asia is expected to grow rapidly, with a compound annual growth rate of 12.4% from 2024 to 2029 [19][20]. Industry Demand - The demand for PCBs is driven by the rapid growth of downstream industries such as electric vehicles and telecommunications, with significant increases in production and sales expected [20][21][22]. - The company is positioned to capitalize on emerging markets related to AI, low-altitude economy, and robotics, which are anticipated to create substantial demand for PCB products [22][23]. Financial Performance - The company has experienced fluctuations in net profit, with a reported net profit of 34.0522 million RMB in 2022, followed by a loss in 2023 [8][9]. - The gross profit margin has declined significantly, indicating potential challenges in maintaining profitability amidst increasing competition [7][8]. Risk Factors - The company faces risks related to project implementation, including potential underperformance of investment projects and challenges in capacity absorption due to market fluctuations [2][3][4]. - International trade disputes and changes in policies may impact the company's export performance, particularly in key markets like the US and Europe [4][5]. Profit Distribution Policy - The company has established a profit distribution policy that prioritizes cash dividends, aiming for a minimum of 30% of average distributable profits over the past three years to be distributed in cash [10][11]. - Recent profit distribution has included no cash dividends in 2022, a cash dividend of 22.8985 million RMB in 2023, and a proposed cash dividend of 7.6328 million RMB for the first half of 2024 [14][15].

Financial Data and Key Metrics Changes - Fundings for the quarter totaled $73 million, with exits and prepayments at $82 million, resulting in net originations of negative $9 million [6][7] - Interest income decreased by 2.3% to $20.9 million, while the weighted average portfolio yield increased by 20 basis points to 12.8% [12][7] - Net investment income remained flat at $11.3 million, with net realized losses of $3.6 million primarily related to a specific investment [7][13] Business Line Data and Key Metrics Changes - The portfolio turnover did not materially impact the investment mix, with 70% of new originations being first lien debt [9] - The company maintained a conservative leverage position with debt at 64% of NAV, which increased to 81% of NAV post-quarter [11][15] Market Data and Key Metrics Changes - The company continues to see a healthy flow of attractive lower middle market deal opportunities, with 88% of recent deals being first lien investments [10] - The average closing leverage for new deals was three times EBITDA, with an average margin over SOFR exceeding 7% [10] Company Strategy and Development Direction - The company remains focused on growth-oriented lower middle market investments backed by private equity sponsors [19] - The strategy includes recycling investment exits to support portfolio growth and shareholder distributions [11][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the health of the portfolio, citing well-articulated growth strategies among investments [24] - Concerns about economic headwinds were acknowledged, but the company believes its investments can withstand these challenges due to conservative leverage and cash flow generation [26][27] Other Important Information - Total assets rose to $780 million, with liabilities primarily consisting of senior notes and a line of credit [13][14] - Monthly distributions for August and September will be $0.0165 per common share, translating to an annual run rate of $1.98 per share [15] Q&A Session Summary Question: Impact of private credit growth on spreads - Management noted that while there is some pressure from sponsors, they have successfully resisted significant reductions in spreads, maintaining an average above 7% over SOFR [21][22] Question: Overall health of the portfolio amid economic uncertainty - Management indicated that most investments have solid growth strategies and can withstand economic headwinds, with a focus on long-term growth rather than short-term economic fluctuations [24][26] Question: Changes in portfolio structure to boost yields - Management clarified that there is no fundamental strategy change, but they are exploring opportunities to manage yield targets through selective second lien and asset-backed facilities [30][32] Question: Leverage ratio and prepayment patterns - Management confirmed the leverage ratio increase to 81% of NAV and noted that prepayments have been unpredictable, typically occurring when companies are up for sale [37][39] Question: Financing options for upcoming debt maturity - Management is evaluating various options for addressing the upcoming debt maturity, expressing some disappointment with current market spreads [41] Question: Future pipeline and backlog outlook - Management expects a healthy number of additional investments and anticipates net originations in the range of $50 million to $100 million per quarter [44][46] Question: Activity level and December quarter expectations - Management expressed cautious optimism for a strong Q4, traditionally a busy quarter, while acknowledging economic uncertainties that may affect deal closures [53][55]

Company Overview - Hongban Technology Co., Ltd. has received approval for its IPO on the Shanghai Stock Exchange, with Minsheng Securities as the sponsor and Lixin Accounting Firm as the auditor [3] - The company focuses on the research, production, and sales of printed circuit boards (PCBs), targeting the mid-to-high-end application market [3] Industry Insights - The global PCB industry is the largest segment in the electronic components sector, with a total output value of $81.74 billion in 2022, which decreased to $69.52 billion in 2023, a decline of 15% due to weak demand and oversupply [4] - The global PCB market is expected to recover to $73.57 billion in 2024, driven by AI servers, high-speed network infrastructure, and a revival in the smartphone market, representing a year-on-year growth of 5.8% [4] - The PCB market is projected to grow at a compound annual growth rate (CAGR) of 5.2% from 2024 to 2029, reaching an estimated value of $94.66 billion by 2029 [4] Regional Market Dynamics - Historically, North America, Europe, and Japan dominated the PCB market, accounting for over 70% of global output before 2000 [5] - In the last two decades, production capacity has shifted to Asia, particularly mainland China, Taiwan, and South Korea, establishing a new manufacturing center in Asia [5] - By 2024, mainland China's PCB output value is expected to reach $41.2 billion, representing 56% of the global total, solidifying its position as the leading PCB production hub [7][8] Future Projections - The PCB industry in mainland China is forecasted to grow at a CAGR of 3.8%, reaching $49.7 billion by 2029 [8] - Other regions, such as Taiwan and South Korea, are also expected to see growth, with Taiwan's PCB market projected to grow at a CAGR of 6.9% and South Korea at 4.2% [7]

江西威尔高电子股份有限公司 招股说明书 首次公开发行股票并在创业板上市 招股说明书 （中国（上海）自由贸易试验区浦明路 8 号） 本次发行股票拟在创业板上市，创业板公司具有创新投入大、新旧产业融合 存在不确定性、尚处于成长期、经营风险高、业绩不稳定、退市风险高等特 点，投资者面临较大的市场风险。投资者应充分了解创业板的投资风险及本公 司所披露的风险因素，审慎作出投资决定。 江西威尔高电子股份有限公司 Jiangxi Welgao Electronics Co., Ltd. （江西省吉安市井冈山经济技术开发区永锦大道 1 号） 1-1-1 江西威尔高电子股份有限公司 招股说明书 1-1-2 保荐人（主承销商） 江西威尔高电子股份有限公司 招股说明书 声明 中国证监会、交易所对本次发行所作的任何决定或意见，均不表明其对发 行人注册申请文件及所披露信息的真实性、准确性、完整性作出保证，也不表 明其对发行人的盈利能力、投资价值或者对投资者的收益作出实质性判断或保 证。任何与之相反的声明均属虚假不实陈述。 根据《证券法》规定，股票依法发行后，发行人经营与收益的变化，由发 行人自行负责；投资者自主判断发行人的投资价值，自 ...