A-share subscription | Yufan Technology (001396.SZ) opens for subscription, focusing on the repair of underground utility networks in smart cities.

On December 19, Yufan Technology (001396.SZ) started its subscription with an issue price of 22.29 yuan per share, with a maximum subscription limit of 0.85 million shares, a P/E ratio of 19.77 times, and listed on the Shenzhen Stock Exchange. CITIC SEC is its sponsor institution. According to the prospectus, Yufan Technology is a high-tech enterprise that provides smart city underground pipeline repair services to government regulatory departments and pipeline ownership units. They utilize CCTV, Siasun Robot&Automation equipment, professional software, and advanced non-excavation repair technologies to serve the drainage pipeline maintenance field and aim to build a complete industry chain in this area. The company is engaged in drainage pipeline testing, assessment, special investigations, and non-excavation repair services, as well as supplying maintenance equipment and materials for drainage pipelines. With the increasing focus on smart cities and underground pipeline management and maintenance, the policies in this field are constantly improving to achieve goals of precise repair, digital management, and intelligent operation. In response to the new trends in development, the company has become a comprehensive service provider that integrates technology R&D, solution design, implementation, maintenance, and product sales. According to data from the China Industry Research Institute's "Pipeline Inspection and Non-Excavation Repair Industry Market Research Report," the company's market share in the drainage pipeline inspection and non-excavation repair industry is expected to reach 4.8% by 2024, ranking first in the market. Due to the majority of business coming from bidding, the company's overall market share in the drainage pipeline inspection, repair, and maintenance sub-field ranks first in the industry, with a market share of approximately 2.10%, surpassing large general contractors and various professional service providers, positioning itself as a market leader in the industry. The company's fundraising investment projects are as follows: Financially, for the years 2022, 2023, 2024, and January-June 2025, the company is projected to achieve operating revenues of approximately 5.13 billion yuan, 6.3 billion yuan, 7.3 billion yuan, and 3.11 billion yuan respectively; with net profits of 78.82 million yuan, 98.25 million yuan, 130 million yuan, and 32.60 million yuan during the same periods.