Hisense-backed Nazhen Tech jumps 11% on HK debut, netting HK$364 per board lot

Hong Kong, September 22 — Nazzhen Technology (09856.HK), a supplier of optical communication and optical connectivity products under the Hisense Group, officially began trading on the Main Board of the Hong Kong Stock Exchange today.

First-Day Trading Performance

The stock opened at HK$36.60, up more than 11% from its issue price of HK$32.96, representing a gain of 11.04%. Based on a trading unit of 100 shares per lot, and excluding fees and other transaction costs, the paper profit per lot was approximately HK$364. The company’s market capitalization stood at approximately HK$35.9 billion.

Positive Signals from Dark Pool Trading

Positive momentum was already evident in pre-listing dark pool trading. On the trading day prior to the listing:

• Phillip Securities dark pool: Closed at HK$35.90, up 8.9% from the issue price, with a paper profit of HK$294 per lot.
• Futu dark pool: Closed at HK$37.80, up 14.7% from the issue price, with a paper profit of HK$484 per lot.

Offering Details

Nazzhen Technology offered approximately 172 million H-shares in its global offering, with a final issue price of HK$32.96 per share. Each trading unit consists of 100 shares, with an entry fee of approximately HK$3,329.24.

• Total gross proceeds: Approximately HK$5.670 billion
• Net proceeds after listing expenses: Approximately HK$5.445 billion
• Joint sponsors: Citigroup and CITIC Securities

Subscription Results

• Hong Kong public offering: Oversubscribed by approximately 35.16 times, with 37,594 valid applications. The one-lot draw rate was 4.01%, and investors needed to subscribe for 30 lots to secure one lot with certainty.
• International offering: Oversubscribed by approximately 4.67 times, with 192 placees.
• Allocation: The clawback mechanism was not triggered. The Hong Kong public offering accounted for 10% of the total, while the international offering accounted for 90%.

Cornerstone Investors

Nazzhen Technology secured 24 cornerstone investors for its IPO, with total subscriptions of approximately US$340 million (approximately HK$2.666 billion), representing about 47% of the total shares offered. The cornerstone investor lineup includes prominent domestic and international institutions such as:

• Primavera Capital Fund
• Greater Bay Area Homeland Investments Limited
• Orient Asset Management
• GF Fund Management
• E Fund Management
• GigaDevice
• PAG
• Gaoteng Global Asset Management
• Barings

Company Profile

Nazzhen Technology is a full-stack provider in the global optical communication industry, with deep involvement across the entire value chain of optical chips, optical modules, and optical terminals. Its products are widely used in core application scenarios including AI cloud computing, telecommunications transmission, 5G wireless communications, and broadband access.

According to Frost & Sullivan, based on 2024 revenue:

• The company ranked fifth globally in the professional optical module market, with a market share of 2.9%.
• It ranked third in China’s optical module market, with a market share of 7.2%.
• The company is one of the few enterprises globally with both R&D and mass production capabilities for optical modules and optical chips.

Financial Performance

From 2023 to 2025, Nazzhen Technology reported the following financial results:

| Year | Revenue (RMB) | Net Profit (RMB) | Net Profit Margin | |------|---------------|------------------|-------------------| | 2023 | 4.239 billion | 216 million | — | | 2024 | 5.087 billion | 89 million | — | | 2025 | 8.355 billion | 873 million | 10.4% |

The company demonstrated strong growth momentum, with its net profit margin rising to 10.4% in 2025.