New stock news | Chaozhou Three-Circle (Group)(300408.SZ) submits documents to Hong Kong Stock Exchange, ranking first in global market share of SOFC membranes.

According to the disclosure by the Hong Kong Stock Exchange on December 4th, Chaozhou Three-Circle (Group) Co., Ltd. (referred to as Chaozhou Three-Circle (Group) (300408.SZ)) has submitted an application to the Hong Kong Stock Exchange Main Board, with China Galaxy International as the exclusive sponsor. The prospectus shows that, according to Frost & Sullivan data, the company focuses on the main business of advanced ceramic materials and has grown into a leading global enterprise in the field of advanced electronic ceramic materials and components. The company has built a core product matrix consisting of electronic and ceramic materials, electronic components, communication devices, equipment components, etc., covering core application areas such as communication, AI and data centers, consumer electronics, automotive electronics, semiconductor manufacturing and packaging, new energy, and smart industrial control, encompassing the business framework of basic materials, key components, high-end devices, and components. The company focuses on upstream basic materials in the electronic industry, mainly including alumina ceramic substrates, aluminum nitride ceramic substrates, electronic pastes, and solid oxide fuel cell ("SOFC") separators. Electronic and ceramic materials, as upstream core materials, are applied in fields such as consumer electronics, automotive electronics, and new energy, supporting electronic component manufacturing and new energy fuel cell applications. For example, alumina ceramic substrates provide electrical insulation, heat dissipation, and mechanical support for chip resistors in consumer electronics. The electronic pastes series is used for electrode printing in precision electronic components. The SOFC separator conducts oxygen ions and separates fuel and oxidants, facilitating the chemical energy conversion into electrical energy in high-temperature environments, serving as a core component of solid oxide fuel cells. According to Frost & Sullivan data, the company's products have gained significant competitiveness in some specific areas. For example, alumina ceramic substrates have undergone multiple technological upgrades and expansion to achieve full specification coverage for chip resistors. The company has now developed into one of the leading suppliers of alumina ceramic substrates globally, with a market share exceeding 50% by revenue in 2024. The resistor pastes have driven the localization process of thick film resistors. According to Frost & Sullivan data, SOFC separators are one of the key components driving the energy transition for SOFC systems, with the company ranking first globally in revenue for SOFC separators in 2024. Financial Information Revenue: For the years 2022, 2023, 2024, and the nine months ended September 30, 2024 and 2025, Chaozhou Three-Circle (Group) had revenues of approximately RMB 5.089 billion, RMB 5.682 billion, RMB 7.266 billion, RMB 5.321 billion, and RMB 6.421 billion, respectively. Profit: For the years 2022, 2023, 2024, and the nine months ended September 30, 2024 and 2025, Chaozhou Three-Circle (Group) had profits of approximately RMB 1.506 billion, RMB 1.583 billion, RMB 2.190 billion, RMB 1.604 billion, and RMB 1.958 billion, respectively. Industry Overview The global market size of core advanced electronic ceramic materials industry increased from RMB 16.8 billion in 2020 to RMB 22.1 billion in 2024, with a compound annual growth rate of 7.1%. Looking ahead, the global trend in the core advanced electronic ceramic materials market is expected to closely follow the deepening in high-performance and emerging applications. With the application of high-performance substrate materials in power electronics, automotive electric drive, and high-speed communication fields, the industry is evolving towards higher thermal conductivity, stronger reliability, and higher power density. In addition, the rapid growth in cutting-edge technologies like AI, the Internet of Things, and new energy is unlocking new demands, creating broader application spaces for advanced electronic ceramic materials. The global market is expected to grow from RMB 24.1 billion in 2025 to RMB 42.2 billion in 2030, with a compound annual growth rate of 11.8% during that period. The global alumina ceramic substrate industry presents a highly concentrated competitive landscape, with the top four companies in revenue in 2024 collectively occupying approximately 97% of the global market share. Leading companies are consistently enhancing their technical innovations, supply chain collaboration, and global customer service capabilities to solidify their competitive advantages. Among them, Chaozhou Three-Circle (Group) ranks first in the industry with approximately 52% of the global market share, and continues to lead in the alumina ceramic substrate sector. The global resistor paste industry has a high degree of market concentration, with the top five companies in revenue in 2024 collectively holding around 84% of the market share. The industry's technological iterations are closely linked to innovation demands in downstream electronic components, leading market competition to evolve from a simple competition based on performance parameters to a comprehensive competition system focusing on technological foresight, full specification coverage, and supply chain resilience. Chaozhou Three-Circle (Group) ranks fourth in the industry with approximately 13% of the global market share, maintaining a significant position in the resistor paste sector. The vigorous development of the electronics manufacturing industry is driving the demand for core ceramic electronic components. From 2020 to 2024, the global market size of core ceramic electronic components increased from RMB 136 billion to RMB 167.3 billion, with a compound annual growth rate of 5.3%. As high-end scenarios like optical communications, AI and data centers, and smart devices penetrate more rapidly and bring higher specifications for electronic components, the market size is expected to further increase to RMB 251.7 billion by 2030. Among them, MLCC serves as a key ceramic electronic component for stabilizing voltage, filtering, and stabilizing signals in electronic circuits, ensuring equipment reliability and performance consistency. With the increasing demand and technical requirements for MLCC in high-end scenarios such as communication base stations, AI and data centers, and smart devices, the MLCC market size is expected to grow to RMB 167.7 billion by 2030, with a compound annual growth rate of 7.4% from 2025 to 2030. The global MLCC market is highly competitive, with major manufacturers from Japan, South Korea, Taiwan, and mainland China. Based on the global revenue in 2024, the top ten companies collectively held a market share of approximately 98%. Leading companies constantly consolidate their market share through advanced core technologies, stable delivery capabilities, and deep collaborations with downstream customers. In 2024, Chaozhou Three-Circle (Group) ranked ninth in the market with a market share of around 2%. At the same time, Chaozhou Three-Circle (Group) was the largest Chinese mainland MLCC supplier globally in 2024. Board of Directors Information The board of directors consists of seven directors, including three executive directors, one non-executive director, and three independent non-executive directors. The directors' term is three years, and they may be re-elected after the term expires. According to relevant Chinese laws and regulations, independent non-executive directors cannot serve for more than six years. Ownership Structure As of the last practicable date, Mr. Zhang holds approximately 59.21% equity in Sanjiang Investment, while Mr. Zhang and Sanjiang Investment respectively hold approximately 2.8% and 33.67% equity in Chaozhou Three-Circle (Group). Intermediary Team Exclusive Sponsor: China Galaxy International Securities (Hong Kong) Limited Chaozhou Three-Circle (Group) Legal Advisors: For Hong Kong law and U.S. law: Freshfields Bruckhaus Deringer; For Chinese law: JunHe Law Firm Legal Advisors for the Exclusive Sponsor: For Hong Kong law: King & Wood Mallesons; For Chinese law: Jingtian & Gongcheng Law Firm Auditors and Reporting Accountants: Ernst & Young Hua Ming LLP Industry Consultant: Frost & Sullivan Consulting (Beijing) Ltd.