Thank you for subscribing.

Please check your email to confirm.

Unsubscribe success..

You already subscribed and confirmed.

Please check your email.

You already subscribed.

Please check your email to confirm.

EV Battery Solution Supplier Hangke Technology Hit the Bell on STAR Market
EV Battery Solution Supplier Hangke Technology Hit the Bell on STAR Market
Car engine. Image credit: Chad Kirchoff on Unsplash
Associated Company
亿欧 亿欧

Hangke Technology and Ronbay New Energy are only two companies representing the new energy industry to be listed on the Shanghai Stock Exchange (SSE) sci-tech board among the first batch of 25 companies on July 22. Hangke was stopped from trading for 10 minutes since share price dramatically rose by 36% within five minutes after trading started.

SSE revealed earlier that Hangke issued 41 million shares in total,  and aims to raise CNY 1.12 billion (USD 162.7 million). China Securities valued the company at CNY 8.5 billion (USD 1.24 billion).

The Chinese EV battery material supplier produces Lithium-ion battery charging equipment and internal resistance tester which are essential parts of powering batteries. It mainly cooperates with overseas partners such as LG Chemical and Samsung.

Financial reports of Hangke indicate the net profit heavily increased from CNY 110 million to CNY 280 million since 2016, with gross profit margin constantly beyond 50%.

An analyst familiar with the battery industry said both Hangke and Ronbay possess essential technology of Lithium-ion battery and being listed could affect their market shares positively.

So far, Chinese electric vehicle and powering battery industries are going through a tough time since Chinese government has reduced subsidies to the new energy industry and loosened restrictions on import of foreign powering batteries. With public capital injected, Hangke may be able to raise its production and lower costs in the increasingly competitive market.

Since investors reduced enthusiasm for the auto market in the second half of 2018, to be listed on the sci-tech board seems one of few options for electric vehicle makers to obtain funding. Some electric vehicle startups, such as Singulato, have shown their desire to board on the STAR market earlier this year.

"Fundraising now becomes more difficult for new energy-related enterprises, but the sci-tech board brings them hope," said Cao He, an auto enterprise investor, "electric vehicle companies are engaged in a capital game, and those who can succeed in the public listing will have more chances to survive."

Enterprise Information

一家科技与产业创新服务平台
CATEGORIES: AI, Industrial Internet, GIIS, Big Data, WIM, BATi, Entertainment Media
Last Funding Type
Pre-Series C
Number of Employees
101-300
Number of Funding Rounds
6

Enterprise Information

亿欧
一家科技与产业创新服务平台
CATEGORIES: AI, Industrial Internet, GIIS, Big Data, WIM, BATi, Entertainment Media
Last Funding Type
Pre-Series C
Number of Employees
101-300
Number of Funding Rounds
6

Reach the Author!

Ask the author questions about the copied text

MOST READ

THE LATEST

Any Question

EqualOcean is an international information service provider and investment research firm that aims to become a global platform for industrial innovation.

We strive to make technology inclusive, accessible and transparent.

Join over 70,000 of your peers