Yuzhi Technology (01511) May 12th to May 15h IPO, introducing cornerstone investors such as Xiong'an Autonomous Driving.

Yushen Technology (01511) will start its IPO from May 12 to May 15, 2026. The company plans to globally issue 14.4612 million shares, with 5% for sale in Hong Kong and 95% for international sale. The offering price will be HK$60.30 per share, with a minimum subscription of 50 shares per lot. Trading of the shares is expected to begin on May 20, 2026 on the Stock Exchange. The company is a leading supplier of L4 level autonomous driving solutions in the Greater China region. It currently focuses on commercial vehicles in closed scenarios, particularly in airports and industrial areas. The companys solutions are versatile and have been applied in various open and closed scenarios, covering logistics, operations, and motor vehicles, ranging from L2 to L4 levels of autonomous driving. According to data from Frost & Sullivan, the company held a market share of 3.1% in the L4 level autonomous driving solution market for commercial vehicles in closed scenarios in the Greater China region in 2025. In 2023, 2024, and 2025, 99.6%, 98.6%, and 99.0% of the company's revenue, respectively, were generated from Mainland China and Hong Kong. The company's market position is based on holding the top position in the market for L4 level autonomous driving solutions for commercial vehicles in airport and industrial areas in the Greater China region based on revenue in 2025, with market shares of 90.5% and 31.7%, respectively. The company aims to advance research and expand its applications in various closed and open scenarios, as well as providing cost-effective extensions in different application scenarios by covering passenger and commercial vehicles and leveraging its technological foundation, industry data, specialized knowledge, and a wide range of standard autonomous driving vehicles and kits developed by the company. It serves a blue-chip customer base, including 35 of the Fortune China and World 500 companies, demonstrating high recognition of the company's autonomous driving solutions by leading companies in various industries. Over the years, the company has dedicated itself to the research, development, and innovation of L4 level autonomous driving solutions, achieving significant milestones through its research efforts in core technology (including on-vehicle and cloud AI capabilities and safety frameworks), multiple iterations and expansion of the U-Drive system and solutions to new scenarios and fields, and the creation of intellectual property and industry recognition as evidence. The company has entered into cornerstone investment agreements with cornerstone investors (namely (i) Xiongan Autonomous Driving Limited (Xiongan Autonomous Driving); (ii) CYGG Holding Limited (CYGG); and (iii) Starwin International A LPF (Starwin International)), who have agreed to subscribe for a total amount of approximately HK$261 million worth of shares at the offering price under certain conditions. Based on the offering price of HK$60.30 per H share, the cornerstone investors will subscribe for a total of 4.3322 million shares of H shares, accounting for approximately 29.96% of the offering shares in the global offering (assuming the exercise of the over-allotment option) and approximately 26.05% of the offering shares in the global offering (assuming full exercise of the over-allotment option). Assuming an offering price of HK$60.30 per share, after deducting underwriting commissions and estimated expenses already paid or payable by the company for the global offering and assuming the non-exercise of the over-allotment option, the company estimates to receive net proceeds of approximately HK$795 million from the global offering. To align with the company's strategy, the company plans to utilize the net proceeds from the global offering in the next four years as follows: approximately 46.7% of the net proceeds will be used to enhance the company's research and development capabilities and provide solutions; approximately 33.5% of the net proceeds will be used for the company's domestic and international business expansion and enhancing commercial capabilities; approximately 9.8% of the net proceeds will be used for strategic investments; and approximately 10.0% of the net proceeds will be used for working capital and general corporate purposes.