Core Viewpoint - The Hong Kong stock market is projected to lead globally in IPO fundraising for the year 2025, with a total amount exceeding HKD 285.6 billion, marking a significant increase compared to 2024 [1] Group 1: IPO Fundraising - The total IPO fundraising amount for Hong Kong in 2025 is expected to exceed HKD 285.6 billion, positioning it as the top market globally [1] - This amount represents a substantial growth compared to the previous year, 2024 [1] Group 2: Underwriters and Advisors - Morgan Stanley Asia ranked first among sponsors, having sponsored 13 IPOs in Hong Kong throughout the year [1] - Livermore Securities led as the top underwriter, having underwritten 32 IPOs in Hong Kong [1] - The law firm Hogan Lovells participated in 24 IPOs, ranking first among legal advisors [1] - Ernst & Young was the leading accounting firm, involved in 41 IPOs during the year [1]

Core Viewpoint - Since 2025, the Hong Kong IPO market has regained its global leading position in fundraising, driven by the increasing valuation of quality Chinese assets and the enhanced international service capabilities of Chinese investment banks, particularly CICC, which has played a pivotal role in this market [1][5]. Group 1: Market Activity and CICC's Role - CICC has participated in 53 out of 117 IPOs in the Hong Kong market since 2025, achieving a market coverage rate of 45% [1]. - The company has acted as a sponsor for 42 projects, holding a market share of 36%, indicating that one in three newly listed companies in Hong Kong has CICC as its sponsor [1]. - CICC has led 38 projects, with a leading rate exceeding 90%, establishing a dominant position in the market [1]. Group 2: Underwriting Scale and Market Share - CICC's underwriting scale has surpassed $10 billion, accounting for nearly 30% of the market [2]. - The company has maintained the top market share for four consecutive years, reflecting its enhanced ability to cover global investors and dominate key underwriting processes [2]. - In 2025, CICC's sponsorship of major projects increased significantly, with the number of projects rising from 4 in 2019 to 10, representing 50% of the top 20 IPOs [2]. Group 3: Notable IPOs and Investor Engagement - CICC played a crucial role in the $5.25 billion IPO of CATL, which set multiple records for the largest IPOs in 2023 and the largest H-share IPO of a Chinese company since 2022 [3]. - The company successfully attracted over 150 times oversubscription for the public offering and engaged numerous sovereign funds and long-term international investors [3]. - CICC facilitated the $1.368 billion IPO of Sanhua Intelligent Controls, marking the largest IPO in Zhejiang Province since 2021, showcasing international capital's recognition of Chinese high-end manufacturing [3]. Group 4: Innovative Projects and Market Influence - CICC led the $1.34 billion IPO of Chery Automobile, the largest financing scale for a comprehensive automotive enterprise in Hong Kong in nearly a decade [4]. - The company was the sole sponsor for the $176 million IPO of Jaxin International, which was the first dual listing project in both Hong Kong and Astana, highlighting its innovative approach [4]. - CICC's influence in the Hong Kong market has transitioned from being an important participant to a leader, significantly enhancing its market presence and capabilities [5].

Core Viewpoint - Since 2025, the international capital has increased its allocation to Chinese assets, leading to a revitalization of the Hong Kong IPO market, which has regained its position as the largest globally in terms of fundraising scale after six years [1] Group 1: Market Position and Performance - CICC has participated in 53 out of 117 IPOs in the Hong Kong market since 2025, achieving a market coverage rate of 45%, a significant increase from 17% in 2019 [2] - CICC has led 38 projects as the principal sponsor, with a leading rate exceeding 90%, establishing a dominant position in the market [2] - The underwriting scale of CICC has surpassed 100 billion USD, with a market share of nearly 30%, nearly doubling from about 15% in 2019 [2] Group 2: Leadership in Major Projects - In the top 20 IPO projects, CICC's sponsored projects increased from 4 in 2019 to 10 in 2025, accounting for 50% of the total [3] - CICC's underwriting share for 8 of its sponsored projects exceeded 45%, with 5 projects surpassing 70%, indicating a significant lead in major projects [3] - CICC has successfully attracted global sovereign funds and long-term institutional investors, providing crucial funding support for companies [3] Group 3: Notable IPOs - CATL's IPO on May 20 raised 5.25 billion USD, marking the largest IPO globally in 2023 and the largest for a Chinese company since 2022, with CICC as the sponsor [4] - CICC facilitated the introduction of cornerstone investors, including a major European asset management firm, for Sanhua Intelligent Control's IPO, which raised 1.368 billion USD [5] - JXIR's IPO on August 28 raised 176 million USD, marking a significant milestone in the internationalization of the RMB and showcasing CICC's ability to attract long-term investors [6] Group 4: Strategic Impact - CICC has transitioned from an "important participant" to a "leader" in the Hong Kong IPO market from 2019 to 2025, enhancing its influence in market participation and project leadership [7] - The company is strengthening the pricing power and influence of Chinese assets in the global capital market, establishing itself as the core leading investment bank in Hong Kong [7]

Core Insights - The Hong Kong stock market is expected to lead globally in IPO financing in 2025, surpassing 200 billion HKD, marking the second-highest record in five years [1] - Four of the top ten global IPOs in 2025 are from the Hong Kong market, including major companies like CATL and Sany Heavy Industry [1] - Domestic securities firms are leveraging the growth of the Hong Kong market to build competitive advantages through diverse strategies [2] Group 1: Market Dynamics - The Hong Kong market's unique advantages and regulatory support are driving mainland companies to list, with notable firms like CATL and Sany Heavy Industry participating [2] - The surge in the Hong Kong market presents historic opportunities for domestic securities firms, with leading firms enhancing competitiveness through capital increases and business license improvements [2] - The establishment of benchmark projects is crucial for firms to break into the market, exemplified by the successful IPO of Seres, which is the largest IPO for a car company globally in 2025 [2][3] Group 2: Competitive Strategies - Domestic firms are exploring differentiated paths in the Hong Kong market, such as focusing on specific regions or industries, leveraging prior A-share IPO experience [4][5] - China Galaxy Securities has established a significant international presence, enhancing its competitive edge in the Hong Kong market through acquisitions and a broad network across Southeast Asia [5][6] - The firm has successfully completed over 20 IPO projects in 2025, covering various sectors including technology and renewable energy [6] Group 3: Talent and Mechanism Integration - The integration of domestic and international operations is emphasized, with firms recruiting top talent to enhance their capabilities in the Hong Kong market [8] - China Galaxy Securities has developed a well-trained team to provide high-quality investment banking services, promoting cross-border collaboration [8] - The firm is also innovating in cross-border capital market services, addressing challenges in foreign currency allocation for domestic investors [9]

Core Insights - The Hong Kong IPO market is experiencing a strong recovery, with a record number of listings and significant capital raised, indicating a favorable environment for companies seeking to go public [6][8]. Group 1: IPO Market Overview - In the period from January to October 2025, a total of 81 companies listed on the Hong Kong stock market, with 78 of these through IPOs, supported by 37 brokerage firms providing professional sponsorship services [1]. - The Hong Kong IPO market has raised a total of $23.6 billion, leading globally in capital raised [7]. Group 2: Sponsorship Institutions - Chinese brokerage firms dominate the Hong Kong IPO market, with CICC leading with 26 sponsorships, followed by CITIC Securities with 23, and Huatai International with 15 [3]. - CICC has maintained a significant lead in the market, having participated in 73 IPO sponsorships since 2022 [3]. Group 3: Baihui Financial Holdings - Baihui Financial Holdings has emerged as a notable player in the IPO sponsorship space, assisting 16 IPO projects in 2024, raising a total of HKD 57.25 billion, focusing on sectors like AI and biomedicine [4]. - In 2025, Baihui Financial continued to engage in high-profile IPOs, with one project seeing an oversubscription of 3,316.5 times [4]. Group 4: Choosing a Sponsorship Institution - Companies are advised to evaluate sponsorship institutions based on historical performance, industry expertise, and comprehensive service capabilities [5]. - Baihui Financial is highlighted for its ability to provide full-cycle listing solutions, including roles as joint bookrunner and lead underwriter [5].

Core Insights - The Hong Kong IPO market has been active in 2025, with 78 new stocks listed and a total fundraising amount of HKD 210.63 billion, representing a year-on-year increase of 200.7% [1] Group 1: Role of Sponsoring Institutions - The core concept of the sponsorship system is that sponsors (usually brokers) recommend and assist issuers in issuing securities, verifying the authenticity, accuracy, and completeness of the information in the issuance documents [3] - The essence of the sponsorship system is to establish a "joint liability mechanism," making the sponsoring institution a bridge between the issuer, regulatory bodies, and investors [4] - Sponsors play multiple critical roles throughout the IPO process, including verifying information and ensuring compliance [5] Group 2: Responsibilities of Sponsoring Institutions - The primary responsibility of sponsors is to verify the information in the issuer's documents, including financial statements, business models, and risk factors, ensuring transparency in the issuance and listing process [6] - Sponsors assist companies in improving their governance structure and market competitiveness before and after listing, ensuring compliance is crucial for newly listed companies [7] - Sponsors serve as the main communication channel with the Hong Kong Stock Exchange, explaining and implementing regulatory requirements while enhancing investor confidence through their professional reputation [8] Group 3: Choosing the Right Sponsoring Institution - Companies should consider their characteristics and needs when selecting a sponsoring institution [9] - Key criteria for choosing a sponsoring institution include verifying the necessary licenses, such as the sixth category license required by the Hong Kong Securities and Futures Commission [10] - The degree of communication and cooperation is a critical soft skill when selecting a sponsor, as highlighted by the CEO of the Hong Kong Stock Exchange [11] Group 4: Market Practices of Baihui Financial Holdings - Baihui Financial Holdings has participated in several IPO projects, showcasing its expertise in sponsorship services, including the successful listing of Jinye International Group, which saw an oversubscription of 11,460 times and a first-day price increase of 330% [12] - Another example includes the listing of Different Group, which was oversubscribed by approximately 3,316.5 times, reflecting market recognition and the execution capabilities of the intermediary team [12] Group 5: Factors for Selecting a Sponsoring Institution - Industry expertise and experience, including prior experience in listing companies within the same industry [13] - Successful case studies and market reputation, assessing the institution's experience and success in Hong Kong listings [13] - Distribution capabilities and investor networks, ensuring the institution has mature issuance channels [13] - Ongoing service capabilities, providing support for post-listing operations [13]

Core Viewpoint - The Hong Kong IPO market has experienced explosive growth in the first half of the year, with a financing scale increase of 714% year-on-year, reaching $14 billion, leading to significant earnings for investment banks and a fierce talent competition in the industry [1][2][3]. Group 1: IPO Market Performance - The Hong Kong IPO financing scale reached $14 billion in the first half of the year, a 714% increase compared to the previous year [2]. - The average listing fee for new IPOs is approximately HKD 1.02 billion, with total listing fees exceeding HKD 54.92 billion [2]. - The average daily trading volume increased by 118% year-on-year to HKD 240.2 billion [2]. Group 2: Investment Bank Earnings - The total underwriting and investment banking fees for 13 listed brokers in Hong Kong reached HKD 91.7 billion, a 30% increase from HKD 70.6 billion in the same period last year [3][4]. - Major firms like CICC, Guotai Junan, and Shenwan Hongyuan saw significant revenue growth, with increases of HKD 6.06 billion, HKD 3.95 billion, and HKD 2.59 billion respectively [3][4]. Group 3: Talent Competition - The number of licensed financial professionals in Hong Kong increased by approximately 1,200 over the past year, reaching around 42,500 [6]. - Job openings related to IPOs have grown by about 30% compared to the previous year, leading to a competitive hiring environment [6][7]. - Some firms are willing to pay substantial "buyout fees" to attract candidates, reflecting the high demand for talent [6][9]. Group 4: Salary Trends - Salaries for professionals with sponsorship rights have generally exceeded HKD 1 million annually, with some mid-level positions seeing salary increases of over 20% [9]. - The average salary for junior assistants at CITIC Securities has been raised by 15% to 30%, reaching approximately HKD 75,000 to HKD 80,000 [9][10]. - The median monthly income for Hong Kong residents in the financial and insurance sectors is HKD 40,000, the highest among all industries [10].

Financial Performance - The company reported total revenue and other income of RMB 16.28 billion for the six months ending June 30, 2025, representing a year-on-year increase of 14.19% [1] - Net profit attributable to shareholders was RMB 4.509 billion, a significant year-on-year increase of 57.77% [1] - Basic earnings per share were RMB 0.52, and the company proposed a cash dividend of RMB 1.65 per 10 shares [1] - Total assets reached RMB 612.364 billion, an increase of 8.11% compared to December 31, 2024 [1] - Shareholders' equity amounted to RMB 109.795 billion, reflecting a growth of 3.12% from December 31, 2024 [1] - Total expenses were RMB 10.958 billion, showing a slight decrease of 1.03% year-on-year [1] Business Segments - The investment banking segment generated total revenue and other income of RMB 1.171 billion, up 10.68% year-on-year [2] - The wealth management segment achieved total revenue and other income of RMB 5.662 billion, marking a growth of 26.16% [2] - The trading and institutional client services segment reported total revenue and other income of RMB 8.071 billion, an increase of 13.50% [2] - The asset management segment had total revenue and other income of RMB 653 million, reflecting a modest growth of 1.71% [2] Market Activities - The company completed four targeted issuance projects for new three-board listed companies, raising RMB 361 million [2] - In the international market, the company participated in three Hong Kong IPO sponsorship projects, with a total equity financing scale of HKD 42.926 billion [2] - The company served as a joint sponsor for the IPO of CATL, raising HKD 41.006 billion, marking the largest IPO in the past three years and the largest in the history of the new energy sector in Hong Kong [2] - As a placement agent, the company assisted in the refinancing project of the traditional gold brand Laopu Gold, raising HKD 2.715 billion [2] Debt Financing and M&A - The company completed 2,301 domestic debt financing projects, with a total underwriting amount of RMB 779.653 billion, ranking third in the industry [3] - The company led 641 corporate bond underwriting projects, with an amount of RMB 212.431 billion, also ranking third in the industry [3] - The company completed six major asset restructuring projects, ranking first in the industry, with a transaction amount of RMB 25.462 billion, ranking fifth [3] - The company played a key role in mergers and acquisitions, assisting the leading new energy vehicle company, Seres Group, in acquiring a digital factory for smart electric vehicles [3] - As an independent financial advisor, the company has had 10 listed companies publicly disclose draft documents for share issuance and major asset restructuring transactions by the end of the reporting period [3]

Group 1 - The Hong Kong IPO market has seen a significant surge, with a record number of listings and a total fundraising amount of 1,067 million HKD in the first half of 2025, nearly eight times that of the same period last year [1][2] - Five companies, including Peak Technology and Blue Sky Technology, listed on the Hong Kong Stock Exchange on the same day, marking a historic moment with six gongs ringing simultaneously [1] - The number of IPOs in May and June accounted for 58.14% of the total listings in the first half of 2025, indicating a concentrated period of activity [1] Group 2 - Eight new stocks raised over 2 billion HKD, while 17 raised over 1 billion HKD, with the top five fundraising companies being CATL, Hengrui Medicine, Haitian Flavoring, Sanhua Intelligent Control, and Mixue Ice City [2] - As of July 17, 2025, the Hong Kong market recorded 51 IPOs and a total fundraising amount of 1,134 million HKD, surpassing the total for the entire year of 2024 and increasing by 217% compared to the same period last year [2] Group 3 - The revival of the Hong Kong IPO market has led to increased activity among investment banks, with a notable rise in the number of companies seeking to go public [3] - As of July 17, 2025, there are 232 companies in the queue to apply for H-share listings, indicating strong interest in the market [3] - The competition between domestic and foreign investment banks has intensified, with domestic banks gaining an advantage due to their understanding of local enterprises and improved international service capabilities [5] Group 4 - The Hong Kong IPO market has regained its position as the largest globally, driven by a surge in A+H listings, which have become a dominant trend [4][10] - A total of 50 A+H companies have submitted IPO applications in the first half of 2025, with several major firms already listed [10] - Predictions indicate that 90 to 100 companies are expected to raise between 200 billion to 220 billion HKD in 2025, with the second half typically being a peak period for IPOs [11] Group 5 - The top investment banks in the Hong Kong IPO market as of July 17, 2025, include CICC with 18 IPOs (16.67% market share), followed by Huatai Financial Holdings and CITIC with 10 IPOs each (9.26% market share) [6][8] - The market shows a clear "Matthew effect," where larger projects are predominantly led by top-tier investment banks, while many smaller banks have only participated in a single IPO [8] Group 6 - The A+H listing model is expected to drive significant fundraising, with estimates suggesting an 85% increase in total fundraising from A+H listings compared to the first half of 2024 [12] - The technology, biomedicine, and consumer sectors are anticipated to lead the IPO market in the second half of 2025, although an increase in supply may raise the failure rate to 35% [12]