New Stock News | Zhenqu Technology Once Again Files with Hong Kong Stock Exchange as a Supplier of Electric Control Solutions.

According to the disclosure on July 22 by the Hong Kong Stock Exchange, Zhen Drive Technology (Shanghai) Co., Ltd. (referred to as Zhen Drive Technology) has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with CITIC SEC and Guotai Haitong as joint sponsors. The company previously submitted its application to the Hong Kong Stock Exchange on January 2, 2026. Company Overview The prospectus shows that Zhen Drive Technology is a technology-driven supplier of electronic control solutions, primarily targeting the new energy vehicle sector. As the core subsystem of electric drive or power systems, electronic control converts electrical energy into controllable power output to achieve precise control of motors or power sources, ensuring efficient and reliable vehicle performance. As of May 31, 2026, the company has won bids from 15 OEMs through direct or first-tier suppliers, and its solutions have been applied to 92 vehicle models, with 74 of them in mass production. According to Frost & Sullivan, the company's main solutions lead in the Chinese market by sales revenue. In 2025, the company ranked sixth in motor controllers, first in dual motor controllers, first in main drive power bricks, and seventh in power modules. Revenue Details by Business Line: The company has developed a layered solution portfolio covering power modules, motor controllers, and power bricks. Unlike traditional suppliers offering standalone power modules or motor controllers, the company's combination allows customers to choose solutions with the appropriate system integration based on vehicle design, cost goals, and engineering requirements. Based on forward-looking industry trends and precise insights, the company was one of the first to launch power brick solutions and commercialize them on a large scale in 2025, establishing a development direction that became an industry benchmark. The power brick architecture significantly simplifies the assembly process of electronic control systems, improves platform reuse, and shortens development cycles. The company has extended the power brick architecture to low-power car controllers in the powertrain and chassis domains, including clutch controllers, power units (such as OBC and DC-DC), and air conditioning compressor controllers, among other subsystems. It further offers domain controller solutions, integrating the control functions of multiple electronic control units for optimized system coordination and higher overall vehicle control efficiency. In line with the industry trend towards multi-integration and drive-control separation, the company employs a native approach to new energy vehicles, providing flexible electronic control solutions to meet evolving market demands. The company's solution portfolio has expanded from traditional power modules and motor controllers to power brick combinations, including main drive power bricks, auxiliary power bricks in the powertrain and chassis domains, and integrated domain controllers. All of the company's solutions can be flexibly deployed, configured, and integrated into the new energy vehicle powertrain systems for efficient cross-platform reuse, accelerating customer system development. Leveraging the same core technology foundation, the company has extended its technology beyond automobile applications to emerging physical AI applications such as electric Vertical Take-Off and Landing (eVTOL) aircraft and AI data centers (AIDC). In the physical AI applications, the company's core motor control technology serves as a critical execution layer component, converting AI-driven commands into precise, reliable, and efficient physical motions. As of the last feasible date, the company is developing products for a wider range of Siasun Robot & Automation applications, including complete robotic arms and wheeled chassis. In the AIDC power system, the company's power electronics technology supports efficient power conversion and distribution, including through solid-state transformers (SST), which act as active energy routers for voltage conversion, power conversion, and intelligent power flow management. These measures enable the company's solution portfolio to support next-generation aircraft propulsion systems, Siasun Robot & Automation joint actuators, AIDC power systems, and to expand its potential market in the broader AI-driven industrial transformation wave. Financial Information Revenue: For the fiscal years ending in 2023, 2024, 2025, and the five months ending on May 31, 2026, the company's revenues were approximately RMB 160 million, RMB 1.159 billion, RMB 2 billion, RMB 552 million, and RMB 956 million, respectively. Loss: For the fiscal years ending in 2023, 2024, 2025, and the five months ending on May 31, 2026, the company's losses were RMB 237 million, RMB 335 million, RMB 331 million, RMB 160 million, and RMB 128 million, respectively. Gross Margin: For the fiscal years ending in 2023, 2024, 2025, and the five months ending on May 31, 2026, the company's gross margins were -8.3%, 1.3%, 5.6%, 1.0%, and 9.0%, respectively. Industry Overview The electronic control market is in a rapid expansion phase. From 2020 to 2025, the global electronic control market size increased from RMB 383.1 billion to RMB 469.9 billion, with a compound annual growth rate of approximately 4.2%. It is expected to maintain a stable growth rate of about 5.3% from 2026 to 2030, reaching around RMB 608.4 billion by 2030. The global motor controller market grew from RMB 114.7 billion in 2020 to RMB 224.9 billion in 2025, with a compound annual growth rate of 14.4%, primarily driven by the rapid growth of new energy vehicle sales and the increasing penetration of electrified powertrains. Looking ahead, supported by the continuous expansion of the new energy vehicle, eVTOL, and intelligent Siasun Robot & Automation markets, the motor controller market is expected to maintain stable growth, reaching around RMB 316.5 billion by 2030, with a compound annual growth rate of 7.1%. From 2020 to 2025, the market size of main drive motor controller for pure electric vehicles increased from RMB 13.3 billion to RMB 61.9 billion, with a compound annual growth rate of 36.0%; it is projected to further increase at a rate of around 7.4% from 2026 to 2030, reaching RMB 91.1 billion by 2030. As hybrid powertrain technology continues to penetrate higher-end vehicle models, hybrid main drive motor controllers will become a high-revenue growth point for electronic control manufacturers, further enhancing industry profitability. The market size of hybrid main drive motor controllers for hybrid vehicles increased from RMB 3.6 billion in 2020 to RMB 36.2 billion in 2025, with a staggering compound annual growth rate of 58.8%. It is estimated to continue growing at a rate of approximately 16.2% from 2026 to 2030, reaching RMB 73.2 billion by 2030. eVTOL, as a highly integrated platform incorporating motor controllers, places high demands on power density, response speed, reliability, and lightweight design. The global market size of dedicated motor controllers for eVTOL is expected to increase from RMB 10.3 billion in 2025 to RMB 37.2 billion in 2030, with a compound annual growth rate of about 29.3%. The intelligent Siasun Robot & Automation electronic control system, which integrates motor drives, control systems, and power modules, is a highly synergistic electromechanical composite platform. With the rapid evolution of artificial intelligence algorithms, breakthroughs in sensing and actuation technology, and the expansion of applications such as industrial automation, the global intelligent Siasun Robot & Automation industry is entering a phase of accelerated development. The global market size of intelligent Siasun Robot & Automation motor controllers is expected to increase from RMB 5.2 billion in 2025 to RMB 40.7 billion in 2030, with a compound annual growth rate of about 50.9%. The global power module market continues to grow driven by demand in new energy vehicles and other industries. From 2020 to 2025, the market size increased from RMB 29.4 billion to RMB 77.7 billion, with a compound annual growth rate of about 21.5%. It is expected to continue expanding at a rate of around 8.5% from 2026 to 2030, reaching from RMB 86.1 billion in 2026 to RMB 119.2 billion in 2030. China's market growth is particularly significant. From 2020 to 2025, the market size in China increased from RMB 8.5 billion to RMB 32.1 billion, with a compound annual growth rate of 30.4%, much higher than the global average. It is projected that from 2026 to 2030, the Chinese power module market will maintain a compound annual growth rate of about 10.9%, further expanding to RMB 48.5 billion. Since the concept of power bricks was introduced in 2021, the market penetration rate of power brick solutions in new energy vehicles was only 0.6% in 2022. With the advancement and development of new energy vehicle electronic control technology and the growing demand for integration, the market share of power brick solutions increased to 10.0% in 2025. By 2030, the share is expected to increase to 39.7%. The overall global power brick market size was approximately RMB 6 billion in 2025 and is projected to reach RMB 49.3 billion by 2030, with a compound annual growth rate of 48.0% from 2026 to 2030. In terms of regional distribution, the Chinese market plays a significant role in the growth of the global power brick market. With a well-established new energy vehicle industry chain and the advantages of a power semiconductor industry cluster, China is becoming the core driver of growth in the global power brick market. Since the official shipping of power brick products in 2022, the market size in China reached RMB 4.2 billion in 2025. Looking ahead to 2026-2030, the Chinese market is expected to maintain robust expansion, reaching RMB 27.3 billion by 2030, with a compound annual growth rate of approximately 41.2%, continuing to lead global market growth. Board of Directors Information The company's board of directors consists of nine directors, including four executive directors, two non-executive directors, and three independent non-executive directors. Equity Structure Shanghai Jiedrive, Shanghai Zhidrive, Shanghai Zhuodrive, Shanghai Jielu, Shanghai Lindun, and Shanghai Xingdrive are controlled by Dr. Shen as their respective sole general partners. Junlian Xiangdao, Junlian Shenghao, and Junlian Shengyuan are controlled by Junlian Capital through its wholly-owned subsidiary Lhasa Junqi Enterprise Management Co., Ltd. (as their respective sole general partner). Intermediary Team Joint Sponsors: CITIC SEC (Hong Kong) Limited, HAITONG INT'L Capital Limited; Company Legal Advisor: Hong Kong law and U.S. law: Gallant Y.T. Ho & Co.; Chinese law: Zhong Lun Law Firm (Beijing); International Sanctions Law: Morgan, Lewis & Bockius LLP; Legal Advisors of the Joint Sponsors: Hong Kong law and U.S. law: Ashurst LLP; Chinese law: Joint Wisdom & Honest Law Firm; Reporting Accountant and Independent Auditor: Ernst & Young Industry Consultant: Frost & Sullivan Consulting Co., Ltd. Shanghai Branch