New stock news | Fuiou Payments submits four listing applications to the Hong Kong Stock Exchange, ranking eighth among China's comprehensive digital payment service providers.

According to the disclosure by the Hong Kong Stock Exchange on January 18, Shanghai Fuyou Payment Service Co., Ltd. (referred to as "Fuyou Payment") has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with CITIC SEC and Shenwan Hongyuan Group Hong Kong serving as its joint sponsors. This is the company's fourth submission to the Hong Kong Stock Exchange. According to a Frost & Sullivan report, based on the Transaction Payment Volume (TPV) in 2024, Fuyou Payment ranks eighth among comprehensive digital payment service providers in China, with a market share of 0.8%. As an independent comprehensive digital payment service provider, the company ranked fourth in China in 2024 based on TPV, with a market share of 4.5%. Company Overview The prospectus shows that Fuyou Payment is a diversified digital payment technology platform in China, empowering customers of different scales and industries in diverse commercial scenarios by providing multi-channel payment services, management, and other value-added services. The company's digital payment technology platform is established to meet the real needs of business activities. The company continuously improves its technology and innovation products based on changing market demands and technological capabilities. After years of continuous market operations and experience in different commercial scenarios, it has established a mature digital payment technology platform to empower commercial transactions, increase the efficiency and security of fund flow and information flow. Fuyou Payment has a recognized brand and competitive market position in the Chinese comprehensive digital payment market. According to the Frost & Sullivan report, the company is a pioneer in providing multi-channel digital payment and digital business solutions in China and was one of the early companies approved to conduct cross-border foreign exchange payment services. The company has pioneered various services in the industry, including acquiring services to help merchant customers collect payments from end customers, cross-border digital payment, and account operations services. The TPV of the Chinese comprehensive digital payment service market in 2024 was RMB 268.6 trillion, dominated by the three major non-independent comprehensive digital payment service providers, collectively holding a 75.6% market share. The company is committed to providing customers with safe, convenient, and efficient multi-channel payment solutions. Fuyou Payment holds a comprehensive range of payment licenses within China and also holds payment licenses in Hong Kong and the United States. Therefore, the company's payment products can cover diverse business scenarios in different fields, including (i) commercial payments (offline and online merchant bank card acquirer, QR code acquirer); (ii) financial payments (including credit card repayments and fund payments); and (iii) cross-border digital payment services (including cross-border B2C, cross-border B2B), helping customers simplify payment processes, integrate online and offline payment information, ensure the safe circulation of funds, provide customers with a robust and expandable payment infrastructure, and promote the efficient operation of transaction networks. The company has established an integrated service and partner network. With the advantage of licenses and underlying technological capabilities, as of the final practicable date, Fuyou Payment has built a wide, stable, and intelligent payment network that can connect to major global card organizations including VISA, MasterCard, American Express, JCB, Diners Club, domestic clearing institutions UnionPay, Wanglian, and Lian Tong, and 78 global banks. Since its establishment and up to October 31, 2025, Fuyou Payment has processed a TPV of RMB 16.34 trillion and handled over 67.9 billion payment transactions. According to the Frost & Sullivan report, based on the number of acquired service transaction volumes processed, the company ranked first among independent comprehensive digital payment service providers in China in 2024. The company's customers mainly include small and medium merchants and enterprises in different vertical industries, as well as financial institutions. As of October 31, 2025, the platform has served a total of 6.2 million customers, covering various industries such as retail, catering, leisure and entertainment, and finance. Financial Information Revenue For the fiscal years 2022, 2023, 2024, and the ten months ended October 31, 2025, the company achieved revenues of approximately RMB 1.142 billion, RMB 1.506 billion, RMB 1.634 billion, and RMB 1.307 billion respectively. Gross Profit and Gross Margin For the fiscal years 2022, 2023, 2024, and the ten months ended October 31, 2025, the company recorded gross profits of approximately RMB 325 million, RMB 380 million, RMB 423 million, and RMB 337 million, with corresponding gross margins of 28.4%, 25.2%, 25.9%, and 25.8% respectively. Net Profit for the Year/Period For the fiscal years 2022, 2023, 2024, and the ten months ended October 31, 2025, the company recorded net profits of RMB 71.165 million, RMB 92.984 million, RMB 84.325 million, and RMB 109 million respectively. Industry Overview In recent years, driven by economic growth, the Chinese payment industry has experienced rapid development, as evident from the rise in per capita GDP and total consumer expenditure. Moreover, advancements in payment technologies such as artificial intelligence, big data, and cloud computing have contributed to the industry's immense growth potential. The TPV of the Chinese payment market increased from RMB 402.94 trillion in 2019 to RMB 577.50 trillion in 2024, with a compound annual growth rate of 7.5%. It is expected to reach RMB 664.81 trillion by 2028, with a compound annual growth rate of 3.5% from 2025 to 2028. Specifically, the TPV of third-party payment service providers in the Chinese payment market increased from RMB 24.99 trillion in 2019 to RMB 33.17 trillion in 2024, with a compound annual growth rate of 5.8%. It is expected to reach RMB 48.01 trillion by 2028, with a compound annual growth rate of 11.3% from 2024 to 2028. In China, third-party payment service providers are required to obtain a payment services license from the People's Bank of China to legally provide a range of payment services, including internet payment, prepaid card issuance and acceptance, and bank card acquiring. Additionally, these payment service providers must obtain a fund payment license from the China Securities Regulatory Commission and a cross-border payment license from the State Administration of Foreign Exchange to operate in specific areas. As of December 31, 2024, of the 175 third-party payment service providers with a Payment Business License, only 40 held a fund payment license and only 22 were authorized to provide cross-border payment services. In recent years, the increasing popularity of digital payment tools and their integration into a wider range of payment scenarios have driven the growth of the comprehensive digital payment market. The diversification of consumer scenarios is expected to further drive market growth. The TPV of the Chinese comprehensive digital payment market increased from RMB 150.1 trillion in 2019 to RMB 268.6 trillion in 2024, with a compound annual growth rate of 12.3%. It is expected to reach RMB 485.2 trillion by 2028, with a compound annual growth rate of 16.8% from 2025 to 2028. The widespread use of QR code payment methods in recent years has greatly promoted the growth of merchant acquiring businesses. Looking ahead, the expanding merchant group will inevitably bring greater demand for acquiring services. The market size of comprehensive digital payment service provider acquirers calculated by TPV increased from RMB 10.84 trillion in 2019 to RMB 16.26 trillion in 2024, with a compound annual growth rate of 8.4%. It is expected to reach RMB 27.06 trillion by 2028, with a compound annual growth rate of 13.9% from 2025 to 2028. Specifically, the aggregated acquiring market size calculated by TPV increased from RMB 6.78 trillion in 2019 to RMB 10.89 trillion in 2024, with a compound annual growth rate of 9.9%. It is expected to reach RMB 18.40 trillion by 2028, with a compound annual growth rate of 3.9% from 2025 to 2028. In terms of transaction volume, the acquiring market's size increased from 387.4 billion transactions in 2019 to 890.9 billion transactions in 2024, with a compound annual growth rate of 18.1%. It is expected to reach 1.3831 trillion transactions by 2028, with a compound annual growth rate of 10.1% from 2025 to 2028. The transaction volume of aggregated acquiring markets increased from 251.8 billion transactions in 2019 to 623.6 billion transactions in 2024, with a compound annual growth rate of 19.9%. It is expected to reach 1.0373 trillion transactions by 2028, with a compound annual growth rate of 12.1% from 2025 to 2028. The aggregated acquiring market can be further segmented into bank card acquiring and QR code acquiring. In recent years, the penetration rate of mobile payment tools has been continuously increasing, leading to a significant proportion of QR code acquiring in the overall market. The market size of QR code aggregating acquiring businesses calculated by TPV increased from RMB 33.4 trillion in 2019 to RMB 68.6 trillion in 2024, with a compound annual growth rate of 9.9%. It is expected to reach RMB 128.1 trillion by 2028, with a compound annual growth rate of 14.5% from 2025 to 2028. Board of Directors Information The board of directors consists of seven directors, including four executive directors and three independent non-executive directors. All directors are elected by the shareholders' meeting and serve for a term of three years, with the option for re-election. The main powers and functions of the board of directors include convening shareholders' meetings, reporting work at shareholders' meetings, implementing resolutions passed at shareholders' meetings, deciding on the company's operating and investment plans, determining the company's annual financial budget and final accounts, establishing the company's basic management system, formulating profit distribution and loss compensation schemes for the company, and exercising other powers and functions as stipulated in the articles of association. Ownership Structure Fuyou Group (China) holds 61.00% of the shares, Fuyou Hao (China) holds 3.66%, Shanghai Tianzi (China) holds 1.98%, and a total of 33.36% is held by 65 other shareholders. As of the final practicable date, Dr. Chen Jian is a general partner of Fuyou Hao and is deemed to have an interest in the company's shares held by Fuyou Hao. Dr. Chen Jian and Ms. Cai Meizhen are spouses. Therefore, under the Securities and Futures Ordinance, Dr. Chen Jian and Ms. Cai Meizhen are deemed to have an interest in the company shares held by each other. Mr. Zhu Lingjun and Ms. Zhu Xuelin are spouses. Therefore, under the Securities and Futures Ordinance, Mr. Zhu Lingjun and Ms. Zhu Xuelin are deemed to have an interest in the company shares held by each other. Intermediary Team Joint Sponsors: CITIC SEC (Hong Kong) Limited, Shenwan Hongyuan Group Financing (Hong Kong) Limited Auditors and Reporting Accountants: Ernst & Young LLP Legal Advisors: Regarding Hong Kong law: King & Wood Mallesons; Regarding Chinese law: King & Wood Mallesons Shanghai Office; Regarding Chinese data compliance law: King & Wood Mallesons Beijing Office; Regarding Hong Kong law relating to local and Hong Kong business operations: Zhong Lun Law Firm Legal Advisors for Joint Sponsors: Regarding Hong Kong law: Jia Yuan Law Firm; Regarding Chinese law: King & Wood Mallesons Industry Consultant: Frost & Sullivan (Beijing) Consulting Co., Ltd., Shanghai Branch Independent Property Valuers: Jones Lang LaSalle (JLL) Corporate Valuation and Advisory Limited Internal Control Consultant: Ernst & Young Risk Management Consulting Services Co., Ltd. Compliance Consultant: Citi International Financing Co., Ltd.