Guoxing Optoelectronics intends to raise nearly 982 million yuan, powering areas such as Mini/Micro LEDs

Recently, Foshan Guoxing Optoelectronics Co., Ltd. (stock abbreviation: Guoxing Optoelectronics, stock code: 002449) disclosed the prospectus (declaration draft) for issuing A shares to specific targets. The company plans to issue A shares to no more than 35 specific targets, including the controlling shareholder Foshan Electric Lighting Co., Ltd. (hereinafter referred to as "Foshan Lighting"). The total amount of funds is expected to be raised.No more than 981.3239 million yuan, focusing on technology upgrades and production capacity expansion in core areas such as ultra-high-definition displays, smart sensing, and vehicle-mounted devices, while replenishing working capital to optimize the financial structure.

The issuance plan is clear: the blessing of the controlling shareholder Pricing mechanism compliance

According to the prospectus, the core elements of this issuance have been clearly implemented. In terms of issuance targets, in addition to the controlling shareholder Foshan Lighting, it also covers securities investment fund management companies, securities companies, insurance institutional investors, qualified foreign institutional investors and other entities that comply with the regulations of the China Securities Regulatory Commission. All issuance targets are subscribed in cash. Among them, Foshan Lighting has committed to a subscription amount of 116 million yuan. It will not participate in market bidding but accept the bidding results. If the inquiry fails, it will subscribe at the lowest issuance price, demonstrating its confidence in the company's development.

In the pricing mechanism, the issue price shall not be less than 80% of the average trading price of the Company's A shares 20 trading days before the pricing benchmark date (that is, the "issue floor price"). If dividends, share delivery and other ex-dividend items occur during the period, they will be adjusted accordingly. The final price will be negotiated between the board of directors of the company and the sponsor (lead underwriter) based on the bidding results. In terms of the number of shares issued, not more than 30% of the total share capital before the issuance, that is, 185,543,150 shares. The specific number will be determined in combination with the total amount of funds raised and the final issue price.

According to the arrangement of the limited sale period, Foshan Lighting subscribedShares cannot be transferred within 18 months from the date of completion of issuance, and shares subscribed by other specific objects have a sales restriction period of 6 months. Calculated based on the issuance cap and Foshan Lighting's subscription amount, its shareholding ratio after the completion of the issuance has not exceeded 30%, and the tender offer obligation will not be triggered. The company's controlling shareholder is still Foshan Lighting, and the status of the actual controller Guangdong Guangsheng Holding Group Co., Ltd. remains stable.

Fundraising focuses on the main business: six major directions to consolidate the "three pillars" business structure

<p id="3VHKCMNS" sfont-family:="" arial,="" "hiragino="" sans="" gb",="" stheiti,="" "helvetica="" neue",="" helvetica,="" "microsoft="" yahei",="" "wenquanyi="" micro="" hei",="" sans-serif;="" font-size:="" 18px;="" text-indent:="" 0px;'="">After deducting issuance expenses, the funds raised this time will be fully invested in six major directions, which accurately fits the company's three-legged development strategy of "high-definition display, intelligent sensing, and display and control modules":

Ultra-high-definition display Mini/Micro led and display module product production and construction project: investment of 370,092,100 yuan. It is proposed to add new Mini/Micro led, top led and display module production capacity. The project construction period is 24 months. After reaching production, it will further seize the market share of ultra-high-definition display. Data show that in 2024, the sales of Mini/Micro LED display in mainland China reached 1.91 billion yuan, which is expected to increase to 2.17 billion yuan in 2025, and the industry has significant growth potential.

< p id =" 3VHKCMNU "style =' box-sizing: inherit; margin: 34px 0px; padding: 0px; text-align: justify; color: rgb (64, 64, 64); font-family: Arial,"Hiragino Sans GB", STHeiti, "Helvetica Neue", Helvetica, "Microsoft Yahei", "WenQuanYi Micro Hei", sans-serif; font-size: 18px; text-indent: 0px;'>Photoelectric sensing and intelligent health device industrialization construction project: total investment of 190.1137 million yuan, focusing on optocouplers and wearable LEDs The production of other products will be expanded to meet downstream needs such as smart home appliances and wearable devices. With the growth of the global wearable device market, China's optoelectronic device output reached 596.70 billion units from January to April 2025. After the project is put into production, it will fully benefit from the market expansion.

Smart home display and Mini backlight module construction project: Investment of 118.1862 million yuan to expand production of Mini backlight modules and thin and light display modules to meet the wave of smart home appliance upgrades. Expected to be in 2025 China's smart home appliance market will reach 793.8 billion yuan in 2020, and the project will strengthen the company's supply capabilities in the smart home display field.

Intelligent vehicle device and application construction project: with a total investment of 53.5328 million yuan, the project will lay out vehicle lighting, display devices and other products to seize the trend of intelligent new energy vehicles. Currently, vehicle-mounted LEDs are developing towards multi-modal integration, and the project’s after-tax internal rate of return reaches 17.67%, with considerable economic benefits.

Nationstar Optoelectronics R&D Laboratory Project: Investment 15,7599,100 yuan, to build a research and development platform in the fields of Mini/Micro led, automotive led applications, etc., it is planned to carry out research and development on 9 core topics. By the end of 2024, the company has granted a total of 842 patents, and its research and development strength will be further enhanced.

Supplementary working capital: Arrange 10,000.00 million yuan for daily operations, alleviate cash flow pressure, and optimize the asset and liability structure. Calculations show that the company's working capital gap in the next three years is about 104 million yuan, which will effectively fill the demand.

Industry opportunities and technology accumulation are sufficient for development

< p id = "3VHKCMO4" style = 'box-sizing: inherit; margin: 34px 0px; padding: 0px; text-align: justify; color: rgb (64, 64, 64); font-family: Arial, "Hiragino Sans GB", STHeiti,"Helvetica Neue", Helvetica, "Microsoft Yahei", "WenQuanYi Micro Hei", sans-serif; font-size: 18px; text-indent: 0px;'>This private placement is a key layout for Nationstar Optoelectronics to seize industry opportunities. At the policy level, the Ministry of Industry and Information Technology and other departments have issued policies such as the "5G Large-Scale Application "Sail" Action Upgrade Plan" and "Guangdong Province Action Plan to Cultivate and Develop Future Electronic Information Industry Clusters", which clearly support the development of Mini/Micro LED, smart sensing, vehicle audio-visual and other fields, and provide a good policy environment for project implementation.

At the market level, China's led industry is steadily recovering. The overall market size is expected to reach 718.5 billion yuan in 2025, of which the packaging market size will increase to 90 billion yuan. The company has been deeply cultivating the led industry for more than 50 years, investing RMB 190.8516 million in R&D in 2024, accounting for 5.50% of revenue. It has 14 provincial-level and above R&D platforms such as the National and Local Joint Engineering Laboratory for Semiconductor Lighting Materials and Devices, and maintains in-depth cooperation with leading enterprises such as Chau Ming Technology and Hikvision. The advantages of technology and customers are significant.