Core Viewpoint - Hand Return Group Limited (referred to as "Hand Return Group") was listed on the Hong Kong Stock Exchange, opening at HKD 7.5 and closing at HKD 6.61, reflecting a decline of 18.19% from its opening price [1]. Summary by Relevant Sections Share Issuance and Capital Structure - The total number of shares issued by Hand Return Group was 24,358,400, with 12,179,200 shares allocated for public offering in Hong Kong and 12,179,200 shares for international offering [2]. - The number of shares outstanding at the time of listing, before the exercise of the over-allotment option, was 226,378,600 [2]. Pricing and Proceeds - The final offer price was set at HKD 8.08, resulting in total proceeds of HKD 196.82 million. After deducting estimated listing expenses of HKD 62.59 million, the net proceeds amounted to HKD 134.22 million [4][5]. Business Overview - Hand Return Group is a Chinese life insurance intermediary service provider, focusing on providing insurance service solutions through its digital transaction and service platforms, including Xiao Yu San, Ka Cha Bao, and Niu Bao 100 [6]. - The funds raised are expected to be utilized over the next 60 months to enhance and optimize the company's sales and marketing network, improve services, boost research and development capabilities, and for selected mergers and acquisitions [6]. Financial Performance - Projected revenues for Hand Return Group are as follows: RMB 806.26 million in 2022, RMB 1.634 billion in 2023, and RMB 1.387 billion in 2024. The net profits (losses) for the same years are projected to be RMB 131 million, -RMB 356 million, and -RMB 136 million respectively [7]. - The operating cash flow for 2022 was -RMB 54.26 million, while it is projected to be RMB 205.07 million in 2023 and RMB 110.1 million in 2024 [8].

Core Viewpoint - The insurance technology intermediary sector is experiencing a surge in overseas listings, driven by capital demands and the need to address profitability challenges [2][7][11]. Group 1: Listing Trends - The parent company of "Little Umbrella," Hand Return Group, has recently passed the main board listing hearing on the Hong Kong Stock Exchange, marking its third attempt to list [2][3]. - Since 2023, several domestic insurance intermediaries have submitted listing applications to US or Hong Kong markets, with successful cases including Cheche Technology and Youjia Insurance [2][5]. - Despite the surge, some companies like Yuanxin Technology have delayed their listing plans after passing the hearing, indicating mixed outcomes in the listing rush [2][5]. Group 2: Business Model and Financials - Hand Return Group operates as an online life insurance intermediary, utilizing three platforms: Little Umbrella for direct sales, Kachabao for agent sales, and Niubao 100 for partner-assisted sales [3][4]. - The company has distributed over 1,900 products since its inception, with customized products accounting for 52.5%, 59.0%, and 40.5% of first-year premiums from 2022 to 2024 [4]. - Financially, Hand Return Group reported revenues of 806 million, 1.634 billion, and 1.387 billion yuan from 2022 to 2024, with adjusted net profits of 75 million, 253 million, and 242 million yuan respectively [4]. Group 3: Market Dynamics and Challenges - The insurance technology intermediary sector has seen limited successful listings since 2007, with a notable increase in IPO activity starting in 2020 [5][6]. - Many companies are facing pressure to list due to capital exit demands and the need to diversify their revenue streams beyond commission-based models [7][8]. - The implementation of the "reporting and operation integration" policy has significantly impacted the revenue of intermediaries, with average commission rates dropping from 39.1% to 25.2% [8][9]. Group 4: Future Outlook - Despite current challenges, experts believe there is significant growth potential in the insurance technology sector, driven by unmet market needs and the ongoing digital transformation of the industry [10][13]. - The preference for overseas listings is attributed to lower entry barriers and greater interest from international investors in China's insurance market [11][12].