New stock news | Shenzhen Longsys Electronics (301308.SZ) submitted a second filing to the Hong Kong Stock Exchange. The company's brand FORESEE ranks second among independent storage brands.

According to the disclosure from the Hong Kong Stock Exchange on May 29, Shenzhen Longsys Electronics Co., Ltd. (Shenzhen Longsys Electronics, 301308.SZ) has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with Citigroup and CITIC SEC as its joint sponsors. The company had submitted a listing application to the Hong Kong Stock Exchange on March 21, 2025. Company Overview According to the prospectus, Shenzhen Longsys Electronics is a leading independent brand semiconductor storage manufacturer globally. With its vertical integration capabilities covering chip design, firmware development, system-level packaging, and testing, Shenzhen Longsys Electronics designs, develops, manufactures, and sells a complete range of storage products for end-side AI, traditional consumer, enterprise, and industrial applications. According to data from Zokai Consulting, based on revenue from storage products in 2025, Shenzhen Longsys Electronics is the second largest independent semiconductor memory manufacturer among over 100 market participants globally and the largest independent memory manufacturer among over 30 market participants in China. In 2025, Shenzhen Longsys Electronics held a 1.2% market share in the global storage product market, which is significant for independent memory companies given the large market size of the industry. Shenzhen Longsys Electronics' brand portfolio includes FORESEE (mainly serving the B2B market), Zilia (mainly serving the Latin American B2B market), and Rexa (mainly serving the high-end B2C market), collectively driving balanced growth in enterprise and consumer markets. FORESEE has been developed organically by the company over more than a decade, enjoying a high reputation and significant first-mover advantage, especially in areas such as mobile phones, personal computers, and automobiles. According to data from Zokai Consulting, based on revenue from B2B storage products in 2025, FORESEE ranks second among independent memory brands with a market share of 0.5%. Zilia is a brand launched by Shenzhen Longsys Electronics in 2023 after acquiring SMART Brazil (a leading Brazilian semiconductor memory manufacturer under SMART Global). According to data from Zokai Consulting, based on revenue in 2025, Zilia is the largest independent memory brand in Latin America. Rexa is a high-end brand acquired by Shenzhen Longsys Electronics in 2017. To date, products under the Rexa brand have been sold in over 60 countries and regions, winning numerous international awards, especially in the high-end consumer markets such as photography, video, and gaming. According to data from Zokai Consulting, based on revenue in 2025, Rexa ranks second among global independent B2C memory brands with a market share of 3.3%. Shenzhen Longsys Electronics has established a comprehensive global presence, with 77.1%, 71.1%, and 66.8% of its revenue coming from outside mainland China during past years. Shenzhen Longsys Electronics conducts business through local subsidiaries and professional teams in Asia, Europe, North America, South America, and the Middle East. By leveraging these local resources and operations, Shenzhen Longsys Electronics is able to effectively serve global customers, including many Fortune 500 companies. The company's customer base includes well-known enterprises such as Dell, Lenovo, Shenzhen Mindray Bio-Medical Electronics, OPPO, Samsung, Transsion, and Xiaomi, reflecting the breadth and diversity of customer coverage across different regions, industries, and product applications. Financial Data Revenue In the fiscal years 2023, 2024, and 2025, the company achieved revenues of approximately 10.125 billion RMB, 17.464 billion RMB, and 22.766 billion RMB respectively. Gross Profit Margin In the fiscal years 2023, 2024, and 2025, the company's gross profit margins were 4.7%, 15.8%, and 18% respectively. Net (Loss)/Profit for the Year In the fiscal years 2023, 2024, and 2025, the company recorded net (loss)/profit for the year of approximately -837 million RMB, 505 million RMB, and 1.498 billion RMB respectively. Industry Overview According to data from Zokai Consulting, the global semiconductor storage product market size in 2025 was USD 275.4 billion, with independent memory manufacturers accounting for approximately 20% of the market share. From 2021 to 2023, storage product demand declined due to factors such as reduced remote work, slower global economic growth, US interest rate hikes, conflicts between the US and Ukraine, and inventory clearance by IDM and other storage companies. Starting from the end of 2023, demand began to recover as electronics companies cleared their inventories and began to replenish for upcoming products. As a result, the semiconductor storage product industry is on an upward trend. It is projected that the market will significantly grow to USD 528.2 billion in 2026, mainly driven by the rapid expansion of AI-related workloads. In particular, the strong demand for enterprise storage products is driven by the accelerated construction of AI data centers, while the supply of advanced storage products remains relatively constrained, leading to imbalances in supply and demand and substantial price increases of storage products. From 2027 to 2030, although shipment volumes are expected to continue growing, the overall market size is projected to remain relatively stable as storage product prices gradually return from high levels to normal levels. The global semiconductor storage product market is expected to reach USD 875.6 billion in 2030, with a compound annual growth rate of 26.0% from 2025 to 2030. In terms of application areas, the market is gradually showing a trend of coordinated development between enterprise and end-side AI sectors, complemented by traditional consumer and other application areas. End-side AI mainly includes AI smartphones, AI tablets, AI computers, and cars, as well as other consumer devices empowered by AI, which are emerging as key drivers of incremental growth in semiconductor storage products. Shipments of end-side AI devices are expected to accelerate - for example, during the period from 2025 to 2030, the market penetration rate of global AI smartphones is expected to increase from 30% to 80%, while the market penetration rate of AI computers is expected to increase from 40% to 80%. Smart wearable devices such as AI glasses and smartwatches are also increasingly incorporating sensing, voice interaction, image capture, and device-side AI functionalities. In the smart automotive field, the applications of intelligent cabins, ADAS, and autonomous driving functions are increasing, driving the demand for local data processing, storage capacity, reliability, and real-time response capabilities. These end-side AI applications are expected to drive incremental demand for semiconductor storage solutions that can better balance capacity, performance per watt, power consumption, form factor, reliability, and system-level cost. Driven by the recent surge in AI server deployments, the enterprise sector is expected to experience the second fastest growth. Recently, LLM has made breakthroughs, leading to a surge in demand for model training and inference, resulting in global AI server shipments growing by over 30% in 2023, over 40% in 2024, and around 25% in 2025, reaching approximately 2.1 million units, and is expected to maintain a CAGR of nearly 20% over the next 5 years. As LLM and agents increasingly move towards multimodal processing in the data processing chain, memory directly impacts data capacity, training and computing speeds, data reliability, and data security, driving strong growth in the related product market. Memory manufacturers continue to innovate to improve product performance, with high-performance DDR5 memory modules, HBM, large-capacity solid-state drives, and CXL memory expansion modules being particularly favored. According to the categorization of storage product types, the growth of embedded storage is mainly driven by the growth in consumer electronics, smart automotive, industrial control equipment, and other end-side devices. As AI functions are increasingly deployed in end-side devices and under the constraints of power consumption, size, and reliability, embedded storage is expected to play a more important role in supporting local data collection, model execution, and real-time interaction. In terms of growth rate, HBM is expected to have the fastest growth, followed by solid-state drives and memory modules, mainly driven by demand for enterprise products (especially products used in AI servers in data centers). From 2021 to 2023, due to continuous advancement in storage technology, the unit price per GB decreased for all product categories. From 2023 to 2024, due to market recovery and demand growth, the unit price per GB increased across the board. Meanwhile, from 2021 to 2025, there was continuous growth in global demand for storage capacity, resulting in increasing unit shipments per GB for all product categories. The chart below shows the global semiconductor storage product market size categorized by product type. Board of Directors Information The Board of Directors will consist of nine directors, including three executive directors, two non-executive directors, and four independent non-executive directors. Directors serve a term of three years and may be re-elected for another term after their term expires. According to relevant Chinese laws and regulations, the maximum term of office for independent non-executive directors is six years. Equity Structure As of the latest practicable date, Mr. Cai Huabo holds approximately 41.78% of the voting rights of the company through (i) his direct ownership of 162,071,900 shares and (ii) 14,700,000 shares held by Ms. Cai Lijiang pursuant to a concerted action agreement. Under the listing rules, Mr. Cai and Ms. Cai will be considered a group of controlling shareholders of the company. As of the latest practicable date, Executive Director Li Zhixiong holds 18,217,390 A shares. As of the latest practicable date, Executive Director Wang Jingyang holds 4,731,200 A shares. As of the last practicable date, the remaining 30% equity interest in Yuan Cheng Suzhou is held by PTI Technology (Singapore) Pte. Ltd. Intermediary Team Joint Sponsors: CITIC SEC (Hong Kong) Limited, Citigroup Global Markets Asia Limited Company Legal Advisors: Rui Sheng International Law Firm, Zhong Lun Law Firm, Pinheiro Neto Advogados, Hogan Lovells Lee & Lee Joint Sponsors Legal Advisors: Quinn Emanuel Urquhart & Sullivan, JunHe LLP Independent Auditor and Reporting Accountant: Ernst & Young Industry Consultant: Zokai Industry Consulting Limited Compliance Advisor: Somerley Cap Limited