Core Viewpoint - The company, Southern Power Grid Digital Grid Research Institute Co., Ltd., has received approval for its initial public offering (IPO) of A-shares on the ChiNext board, with a total issuance of approximately 476.95 million shares, accounting for 15% of the post-issue total share capital [1][2]. Group 1: Financial Metrics - The IPO price is set at 5.69 CNY per share, resulting in a diluted price-to-earnings (P/E) ratio of 32.22 times based on the lower of the 2024 net profit attributable to the parent company, excluding non-recurring gains and losses [2][11]. - This P/E ratio is significantly lower than the industry average of 71.22 times and the comparable listed companies' average of 32.78 times as of November 4, 2025 [2][9][11]. - The total expected fundraising amount is approximately 271.38 million CNY, with a net amount of about 263.84 million CNY after deducting estimated issuance costs [18][19]. Group 2: Strategic Positioning - The company focuses on digital grid technology, aligning with national strategies such as "Digital China," and has developed a range of core products and services, including the "Electric Hong" IoT operating system and various AI-driven solutions [13][14]. - The company has a comprehensive product and solution portfolio that spans multiple sectors, including power energy, transportation, and urban construction, showcasing its versatility and market reach [15]. Group 3: Innovation and R&D - The company emphasizes core technology breakthroughs and has participated in several national key research projects, enhancing its technological capabilities and innovation ecosystem [15][16]. - It has established a robust R&D organization that integrates demand, research, application, and feedback, ensuring alignment between technological advancements and business needs [15][16]. Group 4: Market Dynamics - The IPO will utilize a combination of strategic placement, offline inquiries, and online offerings, catering to various investor profiles [7][8]. - The company has implemented a market-oriented pricing strategy, with the final issuance price reflecting the results of preliminary inquiries and market conditions [18][19].

Core Viewpoint - The company, Southern Power Grid Digital Research Institute Co., Ltd., has received approval for its initial public offering (IPO) of A-shares on the ChiNext board, with a total issuance of approximately 476.95 million shares, accounting for 15% of the post-issue total share capital [1]. Pricing and Valuation - The IPO price is set at 5.69 CNY per share, resulting in a diluted price-to-earnings (P/E) ratio of 32.22 times based on the lower of the 2024 net profit attributable to the parent company before and after non-recurring gains and losses [2][9]. - This P/E ratio is significantly lower than the industry average of 71.22 times and the average of comparable listed companies at 32.78 times as of November 4, 2025 [2][7]. Issuance Details - The total number of shares to be issued is 476.95 million, with all shares being newly issued and no existing shares being sold by current shareholders [1]. - The company aims to raise approximately 271.38 million CNY, with a net amount expected to be around 263.84 million CNY after deducting estimated issuance costs [18]. Competitive Advantages - The company is recognized as a leader in the digital grid sector, leveraging its early mover advantage and deep expertise in digital grid technologies [10]. - It has developed a comprehensive technology and product matrix, focusing on smart terminals, advanced sensing technologies, and artificial intelligence, which supports its core competitiveness [11][12]. Product and Service Offerings - The company offers a wide range of products and solutions across various sectors, including power generation, metering, planning, safety supervision, and enterprise management, ensuring a robust digital infrastructure [13]. - Its solutions have been widely applied in the energy sector and are expanding into other industries such as transportation, water supply, and urban construction [13]. Innovation and R&D - The company has established a strong innovation mechanism, participating in multiple national key research projects, which enhances its technological capabilities and market position [14]. - It focuses on core technology breakthroughs, particularly in areas like sensing, embedded operating systems, and artificial intelligence, to drive its business development [12]. Talent and Qualifications - The company boasts a highly skilled workforce with extensive experience in digital construction, supported by numerous certifications that validate its technical and project management capabilities [15]. - It actively participates in the formulation of industry standards, contributing to 82 standards, including 11 international standards [15].