IPO News | Guanghe Technology (01989) Ends Subscription Period with Margin Trading Applications Recording HK$358.1 Billion in Total Bids, Oversubscription of 1,072 Times

Printed Circuit Board (PCB) manufacturer Guanghe Technology (01989) held an IPO from March 12 to March 17, 2026, which has now closed. According to market reports, the public offering received 200,000 subscriptions, with the margin subscription amount reaching HKD 358.1 billion. Based on the public offering amount of HKD 331 million, the oversubscription was 1,072 times.

Guanghe Technology plans to issue 46 million H-shares globally, with 10% offered in Hong Kong and 90% internationally. The maximum offer price is HKD 71.88 per share, with a lot size of 100 shares. The entry fee per lot is HKD 7,260.50, raising up to HKD 3.31 billion. The company is expected to start trading on March 20 (Friday), with CITIC Securities and HSBC serving as joint sponsors.

For this IPO, Guanghe Technology introduced 12 cornerstone investors, including CPE, Yuanfeng Asset Management, Guotai Junan Investment (for Yuanfeng off-market swaps), Shanghai Jinglin, CITIC Securities International Capital Management (for CITIC Securities back-to-back total return swaps and CITIC Securities client total return swaps), Hong Kong Jinglin, UBS Asset Management Singapore, Value Partners, Eastspring, GBAHIL, MY Asian, Baring, TaDa Life, and ICBC Wealth Management. These cornerstone investors have agreed to subscribe for or facilitate the subscription of approximately USD 190 million worth of shares at the offer price, with a six-month lock-up period.

The prospectus states that Guanghe Technology mainly engages in R&D, manufacturing, and sales of customized printed circuit boards (PCBs) used in computing servers and other high-performance scenarios. According to Frost & Sullivan, based on the cumulative revenue from 2022 to 2024 for computing server PCBs, the company ranks third globally among PCB manufacturers for high-performance servers and first among mainland China-based manufacturers.

Guanghe Technology provides PCBs for computing, industrial, and consumer scenarios, with a primary focus on computing server PCBs.

The company’s industry position relies on long-term relationships with well-known downstream clients. According to Frost & Sullivan, during the historical period, Guanghe Technology’s clients in the high-performance server field include eight of the top ten global server manufacturers (by 2024 revenue). As of September 30, 2025, the company has been cooperating with several leading global server manufacturers for over ten years.

Financially, in 2022, 2023, 2024, and the nine months ending September 30, 2025, the company achieved revenues of approximately RMB 2.412 billion, RMB 2.678 billion, RMB 3.734 billion, and RMB 3.835 billion, respectively. During the same periods, the total comprehensive income was approximately RMB 280 million, RMB 415 million, RMB 680 million, and RMB 718 million.

Assuming an offer price of HKD 71.88 per share, the company estimates net proceeds of approximately HKD 3.175 billion from the global offering. About 19.7% of the net proceeds are expected to be used for the company’s Phase II Thailand base; approximately 52.1% for expanding and upgrading production facilities at the Guangzhou base; around 10.0% for enhancing R&D capabilities in materials technology, process improvements, and product development; approximately 8.2% for seeking strategic partnerships, investments, or acquisitions that complement the company’s business and align with its development strategy; and about 10.0% for working capital and general corporate purposes.