China’s Leadshine Tech lists at premium on Shenzhen bourse

A man walks past an electronic board showing the benchmark Shanghai and Shenzhen stock indices, on a pedestrian overpass at the Pudong financial district in Shanghai, China, June 26, 2015. REUTERS/Aly Song

Shenzhen-headquartered motion control products developer China Leadshine Technology Co., Ltd on Wednesday listed at a premium on the Shenzhen stock exchange after raising 510 million yuan ($72 million) in its initial public offering (IPO).

Leadshine, which filed for an IPO on March 25, sold up to 52 million common shares at 9.8 yuan ($1.4) apiece. The stock opened at 11.76 yuan ($1.7), up 20 per cent from the IPO price. 

HK-listed China Securities is the principal underwriter of the deal.

Leadshine provides high-tech motion control products for intelligent manufacturing industries. Its products are exported to countries across the world.   

Its products serve the electronic device, semiconductor, special machinery, inkjet printing, textile, logistics, automation, and medical device industries. 

Aside from Shenzhen, the company has set up over 30 divisions in the country. It also has a channel partner, MAS Auto Systems Pvt Ltd, in India. 

As of 2019, Leadshine generated an aggregate of 663 million yuan ($94 million) in annual revenue, up  11.19 per cent compared to the previous year. Its net profit was 113 million yuan ($16 million), up 31.93 per cent than that of 2018. 

Following the IPO, Weiping Li will remain its controlling shareholder and actual controller holding  35.77 per cent equity in Leadshine. Hesai Investment Management is the second-largest shareholder owning 8.78 per cent stake.

Hangzhou-based private equity firm Sinowisdom, which had made an undisclosed investment in Leadshine back in 2016, will hold 4.38 per cent stake after paring its holding by 1.45 per cent. 

 

Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.