Report Summary - The report focuses on the analysis of Lianrui Convertible Bonds and the fundamentals of its underlying stock, Lianrui New Materials. It provides insights into the bond's issuance, pricing, and investment suggestions, as well as the company's business, operations, and financials [1][21]. 1. Report Industry Investment Rating - Not provided in the report. 2. Report's Core View - The report suggests actively subscribing to Lianrui Convertible Bonds, with a target price of 136 - 141 yuan on the first day of listing. The expected first - day conversion premium rate is in the range of 43% - 48%. The bond has certain investment value due to its general issuance scale, decent rating, and good bond floor protection [3][19]. 3. Summary by Relevant Catalogs 1.1. Lianrui Convertible Bonds' New - Issue Analysis and Investment Suggestions 1.1.1. Convertible Bond Basic Terms Analysis - The bond is issued through priority placement and online issuance, with a debt and issuer rating of AA. The issuance scale is 695 million yuan, the initial conversion price is 63.55 yuan, the conversion parity is 95.31 yuan, and the pure - bond value is 97.77 yuan. The game terms (down - revision, redemption, and put - back clauses) are normal. Overall, the bond has average liquidity, a decent rating, and good bond floor protection, and it's easy for institutions to include it in their portfolios [2][15]. 1.1.2. New Bond's Initial Listing Price Analysis - The target price of the convertible bond on the first day of listing is estimated to be 136 - 141 yuan. Based on the conversion parity of 95.31 yuan as of January 14, 2025, and by referring to similar convertible bonds, the first - day conversion premium rate is expected to be in the range of 43% - 48%. The company's business focuses on R & D, manufacturing, and sales of functional advanced powder materials, and the raised funds will be used for specific projects to enhance the company's competitiveness [3][19]. 1.1.3. Convertible Bond New - Issue Winning Rate Analysis - The estimated first - day new - issue winning rate is around 0.0029% - 0.0044%. Assuming the old shareholders' placement ratio is 43% - 63%, the market - available scale of the bonds is 254 million - 393 million yuan. Referring to recent similar bond issuances, the online effective subscription number is assumed to be 8.85 million households [20]. 1.2. Underlying Stock Fundamental Analysis 1.2.1. Company's Main Business and Industry's Upstream and Downstream - The company specializes in R & D, manufacturing, and sales of functional advanced powder materials, with a leading position in the industry. Its products are mainly used in semiconductor packaging, electronic circuit boards, and thermal conductive materials, covering multiple fields. The upstream includes raw material suppliers, and the company can meet the high - standard requirements of downstream industries with its advanced technology [21][22]. 1.2.2. Company's Operating Conditions - The company's recent revenue has been on the rise, with year - on - year growth rates of 5.96%, 7.51%, 34.94%, and 17.12% from 2022 to the first half of 2025. The comprehensive gross margin has remained stable, and the period expenses have fluctuated slightly. R & D expenses have also shown minor fluctuations. The accounts receivable turnover is generally stable, but the net profit attributable to the parent company has fluctuated significantly [25][30][38]. 1.2.3. Company's Equity Structure and Major Subsidiaries - As of June 30, 2025, the company's equity structure is relatively dispersed. Shengli Technology is the largest shareholder, and Li Xiaodong is the second - largest shareholder. Li Xiaodong is the controlling shareholder, and Li Xiaodong and Li Changzhi are the joint actual controllers [42]. 1.2.4. Company's Business Characteristics and Advantages - The company has R & D technology advantages, brand advantages, quality advantages, and service advantages. It has mastered key technologies, participated in standard - setting, established a quality management system, and provides comprehensive pre - sales, in - sales, and after - sales services [44][46][48]. 1.2.5. Allocation of Raised Funds - The company plans to issue convertible bonds to raise up to 695 million yuan. After deducting issuance fees, 255 million yuan will be used for the high - performance high - speed substrate ultra - pure spherical powder material project, 240 million yuan for the high - thermal - conductivity high - purity spherical powder material project, and 200 million yuan for working capital. Both projects are expected to generate significant revenues and profits after reaching full production [49][50].

Investment Rating - The report maintains a "Strong Buy" investment rating for the company [4][8]. Core Insights - The company reported a revenue of 824 million yuan for the first three quarters of 2025, representing a year-on-year growth of 18.76%, with a net profit of 220 million yuan, up 19.01% year-on-year [1]. - The demand for advanced packaging continues to rise, with the company focusing on high-end chip packaging technologies and expanding its product offerings [8]. - The company's gross margin for the first three quarters was 41.41%, with a slight decrease compared to the previous year, but the third quarter showed an improvement in gross margin to 42.4% [8]. Financial Performance - The company is projected to achieve total revenue of 1.225 billion yuan in 2025, with a year-on-year growth of 28% [3]. - The net profit for 2025 is estimated at 320 million yuan, reflecting a 27% increase compared to 2024 [3]. - The earnings per share (EPS) are expected to be 1.32 yuan in 2025, with a corresponding price-to-earnings (PE) ratio of 49.2 [9]. Market Position and Strategy - The company is increasing its market share in the advanced functional powder market, with a growing proportion of revenue coming from high-end products [8]. - Strategic collaborations with leading manufacturers in packaging materials and high-performance thermal materials are being emphasized to enhance product validation and development [8]. - The company plans to invest approximately 1.29 billion yuan in a new production line for ultra-fine spherical powder for integrated circuits, along with additional investments in high-performance materials projects [8].

IPO and Financing Overview - Four companies are scheduled for IPO review next week (October 20-24), aiming to raise a total of 6.844 billion yuan [1] - Two companies are set for refinancing, with a total planned fundraising of 1.3 billion yuan [5] Company Summaries 1. Jianxin Superconducting Technology Co., Ltd. - The company plans to reduce its fundraising target from 865 million yuan to 775 million yuan, removing the supplementary working capital project [2] - Jianxin focuses on the R&D, production, and sales of core components for MRI equipment, including superconducting magnets, which account for approximately 50% of the cost of MRI equipment [7] - The company has been a pioneer in the mass production of high-field superconducting magnets in China, breaking the long-standing monopoly of foreign manufacturers since 2015 [7] 2. Muxi Integrated Circuit (Shanghai) Co., Ltd. - Muxi specializes in the R&D, design, and sales of high-performance GPU chips and computing platforms, targeting AI training and inference applications [10] - The company has established itself as one of the few in China with comprehensive capabilities in high-performance GPU chip development [10] 3. Shuangxin Environmental Protection Materials Co., Ltd. - Shuangxin is engaged in the R&D, production, and sales of products along the PVA (polyvinyl alcohol) industry chain, including PVA and its specialty fibers [15] - The company has a complete PVA industry chain layout and is controlled by Inner Mongolia Shuangxin Energy Chemical Co., Ltd. [15] 4. Aishalen Medical Technology Group Co., Ltd. - Aishalen focuses on the R&D, production, and sales of disposable medical consumables for rehabilitation and medical protection [19] - The company provides a range of medical dressing products, including medical care pads and surgical gowns [19] Financial Performance Jianxin Superconducting - Total assets as of June 30, 2025, were 688.99 million yuan, with a net profit of 31.92 million yuan for the first half of 2025 [9] - The company has maintained a steady increase in revenue, with a net profit margin of 6.64% [9] Muxi Integrated Circuit - As of March 31, 2025, total assets were approximately 1.046 billion yuan, but the company reported a net loss of 232.51 million yuan for the first quarter of 2025 [12] Shuangxin Environmental Protection - For the first half of 2025, total assets were 623.58 million yuan, with a net profit of 281.08 million yuan [17] - The company has shown a consistent revenue stream, with a net profit margin of 5.95% [17] Aishalen Medical Technology - As of June 30, 2025, total assets were approximately 1.201 billion yuan, with a net profit of 49.43 million yuan [21] - The company has demonstrated a stable growth trajectory, with a net profit margin of 6.61% [21]