A-share subscription | Luozhou Axle Co., Ltd. (301699.SZ) has opened for subscription and is a domestic leader in research and development and layout in the high-end bearing field.

On August 25, Luozhou Co., Ltd. (301699.SZ) commenced its subscription, with an issuance price of 15.88 yuan per share, a subscription limit of 14,500 shares, a price-to-earnings ratio of 22.67 times, and an industry price-to-earnings ratio of 38.35 times. It is listed on the Shenzhen Stock Exchange's Growth Enterprise Market, with China Securities Co., Ltd. as the sponsor (lead underwriter). The prospectus shows that Luozhou Co., Ltd. specializes in the research and development, production, and sales of bearings and related components, making it one of the largest comprehensive bearing manufacturing enterprises in China's bearing industry. The company has deep roots in the bearing industry, with outstanding technological innovation capabilities. It hosts the only national key laboratory in the bearing sector and leads domestically in research and layout in the high-end bearing field. The company's specialized bearing products for major equipment, high-end equipment, and new energy vehicles are key foundational components of national strategic emerging industries and play an important strategic role in enhancing Chinas equipment manufacturing capabilities and optimizing the manufacturing industry. With its strong research and development strength and technological innovation capabilities, the company has broken foreign monopolies and achieved domestic substitution in several high-end bearing fields such as major equipment and high-end equipment. Various technological achievements have been verified by the China Bearing Industry Association as reaching international leading or advanced levels. The companys product development emphasizes national strategic needs and has undertaken multiple national scientific and technological projects. It is among the first domestic enterprises to carry out research on high-speed train bearings (or high-speed train axle bearings) and is responsible for the development and matching tasks for the main shaft bearings and transmission system accessory bearings of the domestically produced C919 and C929 passenger aircraft, contributing to the growth of emerging industries and the development of new production capacities in the country. According to the certification documents issued by the China Bearing Industry Association, in 2024, the company ranks first in the industry for wind power main shaft bearings, second for wind power tilt bearings, and among the top three for wind power gearbox bearings in the field of major equipment bearings. In the high-end equipment bearings sector, rail transit bearings and aerospace bearings are both ranked among the top three in the industry. In the automotive bearing sector, new energy vehicle hub bearings are ranked among the top three. The funds raised from this public offering of new shares, after deducting issuance expenses, will be invested in the following projects in order of priority: In terms of finances, for the years 2023, 2024, and 2025, the company is expected to achieve operating revenues of approximately 4.441 billion yuan, 4.675 billion yuan, and 6.034 billion yuan, respectively; during the same period, the net profits are expected to be approximately 236 million yuan, 247 million yuan, and 544 million yuan.