Core Viewpoint - The company, Fiberhome Telecommunication Technologies Co., Ltd., is preparing for a specific object issuance of A-shares to raise funds for operational liquidity, with a total fundraising amount of approximately 1.1 billion yuan [9][20]. Group 1: Company Overview - Fiberhome is a leading entity in the optical communication industry, integrating three strategic technologies: optical communication systems, optical fibers and cables, and optoelectronic devices [2]. - The company has established production bases and R&D centers in Southeast Asia, South America, and Europe, serving over 100 countries and regions, impacting around 4 billion people globally [2]. - Fiberhome is recognized as a key player in China's optical communication sector, contributing to national laboratories and innovation centers [2]. Group 2: Financial Data - As of March 31, 2025, the total assets of the company amounted to approximately 42.41 billion yuan, with total liabilities of about 26.66 billion yuan, resulting in total equity of approximately 15.75 billion yuan [3]. - The company's revenue for the first quarter of 2025 was approximately 404.85 million yuan, with a net profit of about 54.20 million yuan [3]. - The company reported a decline in cash flow from operating activities, with a net cash flow of -153.35 million yuan for the year 2024 [4]. Group 3: Issuance Details - The issuance will consist of 86,546,026 shares at a price of 12.71 yuan per share, adjusted from an initial price of 12.88 yuan due to a rights distribution [9][22]. - The funds raised will be used entirely to supplement the company's working capital, aligning with national industrial policies [20]. - The shares issued will be subject to a 36-month lock-up period for the subscribing entity, China Information Communication Technology Group [10][20]. Group 4: Regulatory Compliance - The issuance process has been approved by relevant regulatory bodies, confirming compliance with the Company Law and Securities Law [17][18]. - The company has conducted necessary internal procedures and obtained approvals from its board and shareholders for the issuance [14][16]. - The fundraising plan has been reviewed and deemed compliant with the requirements set forth by the China Securities Regulatory Commission [19].

Industry Overview - The Chinese optical communication system industry is experiencing market scale expansion, accelerated technological iteration, diversified competitive landscape, and strengthened policy support, showing steady overall development [1][13] - The market size of the optical communication system industry in China is projected to reach 215.4 billion yuan in 2024, with a year-on-year growth of 1.07% [1][13] - Technological advancements are moving towards ultra-high speed, large capacity, and low latency, with 400G optical networks already in commercial use and 800G/1.6T optical modules gradually being deployed [1][13] Technological Developments - Innovations such as silicon photonics and co-packaged optics (CPO) are driving power consumption reductions of over 50% [1][13] - The integration of quantum communication with optical communication provides new pathways for secure information transmission, while integrated optical technologies enhance device intelligence [1][13] Policy and Market Drivers - National policies such as "Broadband China" and "Three Networks Integration" are significantly promoting industry growth [1][13] - Emerging applications in computing networks and smart cities are expanding the boundaries of application, with AI model training driving the demand for upgraded computing infrastructure, further boosting the optical communication system market [1][13] Industry Development History - The optical communication system industry in China has undergone four main stages: early exploration (1970s), technological breakthroughs (1980s), rapid development and industrialization (1990s), and technological upgrades and globalization (2000s to present) [6][7] Industry Chain - The upstream of the optical communication system industry includes core components and basic materials, while the midstream involves R&D and production, and the downstream applications span telecommunications, data communications, consumer electronics, and more [9] Key Companies - Major players in the optical communication system industry include Huawei, ZTE, and FiberHome, which dominate the core markets of optical transmission and access equipment [15] - Companies like Zhongji Xuchuang and Xinyi Technology are gaining traction in the optical module and device segments through technological innovation and differentiated products [15] Market Trends - Technological innovation is the core driving force for the development of the optical communication system industry, with a focus on high speed, high integration, and low power consumption [21] - New application scenarios are expanding, including IoT and smart city initiatives, which will further increase the demand for optical communication devices [22][23] - International competition is intensifying, with Chinese optical communication companies needing to enhance their competitiveness in the global market [24]