Hongxin Yu (02681) opens its IPO subscription from October 30 to November 9, planning a global offering of 14.7172 million H shares and introducing cornerstone investors including Flourish and Pine Vigor.

Hongxin Yu (02681) is conducting its IPO subscription from October 30, 2026 to November 9, 2026, planning a global offering of 14.7172 million H shares, of which approximately 10% is for the Hong Kong public offering and approximately 90% for the international offering, with an additional 15% over-allotment option. The offer price is HK$72.29-82.9 per share, with a board lot of 100 H shares, and the H shares are expected to commence trading on the Stock Exchange at 9:00 a.m. on November 12, 2026 (Thursday). The Group is a memory products manufacturer. According to Frost & Sullivan, in 2025, the Group held a 0.6% market share of the entire global storage products market by revenue and ranked 12th among all memory products manufacturers globally. The Group has built a platform covering four core technologies, including (i) controller chip design and development, (ii) firmware algorithm development, (iii) test system development and (iv) storage media characterization analysis. The Group provides storage products through this platform. The Group's storage products mainly include (i) embedded storage, (ii) solid-state drives, (iii) DRAM and (iv) mobile storage. The Group has entered into cornerstone investment agreements (each, a "Cornerstone Investment Agreement" and collectively, the "Cornerstone Investment Agreements") with Flourish, Pine Vigor, Transsion International, Shenzhen Longsys Electronics Investment, Gottfried, Xiongshi, and Mr. Chen Juncheng (each, a "Cornerstone Investor" and collectively, the "Cornerstone Investors"). Pursuant to these, the Cornerstone Investors have agreed, subject to certain conditions, to subscribe for or procure their designated entities to subscribe for such number of offering shares as they may acquire (rounded down to the nearest 100 H shares, being a complete board lot), for an aggregate amount of approximately HK$452 million (excluding brokerage commission, SFC transaction levy, AFRC transaction levy and Stock Exchange trading fee) (the "Cornerstone Placing"). Assuming no exercise of the offer size adjustment option or the over-allotment option, no additional shares issued under the pre-IPO share option plan, and an offer price of HK$77.60 per offering share (being the mid-point of the offer price range set out in this prospectus), after deducting the underwriting fees and commissions paid and payable by the Group in respect of the global offering and estimated offering expenses, the Group estimates that it will receive net proceeds of HK$1.054 billion. The Group intends to apply the net proceeds from the global offering for the following purposes: (1) approximately 40.0% of the net proceeds is expected to be used for the development and commercialization of storage products. (2) approximately 35.0% of the net proceeds is expected to be used for the research and development and iteration of controller chips. (3) approximately 15.0% of the net proceeds is expected to be used to enhance the Group's in-house wafer-level testing and controller chip verification, validation and quality management testing capabilities. (4) approximately 10.0% of the net proceeds is expected to be used for working capital and general corporate purposes. In 2023 and 2024, the Group's revenue remained relatively stable at RMB8.781 billion and RMB8.718 billion, respectively, and increased by 28.9% to RMB11.238 billion in 2025. The Group's revenue increased by 185.7% from RMB2.805 billion for the four months ended April 30, 2025 to RMB8.012 billion for the same period in 2026. The Group's gross profit increased significantly from RMB417 million in 2023 to RMB1.3996 billion in 2024, and further increased by 74.8% to RMB2.446 billion in 2025. The Group's gross profit increased from RMB387 million for the four months ended April 30, 2025 to RMB4.969 billion for the same period in 2026.