Taifeng Intelligent terminates IPO on ChiNext. Specialized in research, design, production, and sales of hydraulic components and electro-hydraulic integrated control systems.

On November 21, Shandong Taifeng Intelligent Control Co., Ltd. (referred to as Taifeng Intelligent) terminated its IPO on the Shenzhen Stock Exchange ChiNext Board. The IPO was terminated because Taifeng Intelligent and its sponsors withdrew their application for listing. According to Article 62 of the Shenzhen Stock Exchange Stock Issuance and Listing Review Rules (revised in 2024), the Shenzhen Stock Exchange decided to terminate the review for its listing. The prospectus shows that Taifeng Intelligent is a high-tech enterprise specializing in the research, design, production, and sales of hydraulic components and electro-hydraulic integrated control systems. The company's main products include two-way cartridge valves, electro-hydraulic integrated control systems, and other hydraulic components, including multi-way valves, charge valves, plunger pumps, and hydraulic cylinders. The company's products are widely used in various sectors of the national economy, providing support for industrial equipment, walking machinery, and hydraulic transmission systems on main machines such as machine tools, metallurgical machinery, recycling resources, and engineering machinery. During the reporting period, the company's main business revenue composition is as follows: After deducting issuance expenses from the raised funds, they will be invested in the following projects: Financially, in 2020, 2021, and 2022, Taifeng Intelligent achieved operating revenues of approximately 346 million, 519 million, and 600 million yuan respectively. During the same period, the company achieved net profits of 31.31 million, 67.60 million, and 84.00 million yuan respectively. It is worth noting that Taifeng Intelligent mentioned in the prospectus that the company faces risks related to technological upgrades and iterations. They stated that with the continuous innovation in the hydraulic industry, downstream customers have increased demand for customization and differentiation in technical performance of hydraulic products, which puts higher requirements on the technical reserve, continuous research and development, and differentiation service capabilities of hydraulic product manufacturers. Continuous research and development investment and product upgrades are crucial means to ensure the company's competitiveness. If the company fails to accurately grasp the industry's technological development trend, understand the changes in customer demand or if the research and development speed lags behind the industry's technological updates, the company may face technological bottlenecks in the development of high-end hydraulic components, which could negatively impact the company's competitiveness and sustainable development.