Jiumu Chemical's IPO passed the Beijing Stock Exchange meeting, and the domestic production process of OLED front-end materials accelerated

On September 16, Wanrun Co., Ltd. issued an announcement stating that the IPO application of Yantai Jiumu Chemical Co., Ltd., its holding subsidiary, on the North Exchange was reviewed and approved by the Listing Committee meeting, and the issuance and listing process will be officially launched after the registration approval of the China Securities Regulatory Commission. Jiumu Chemical had previously planned a spin-off and listing, but later adjusted its listing path and turned to the Beijing Stock Exchange for declaration. On September 18, 2025, Jiumu Chemical's IPO was officially accepted by the Beijing Stock Exchange, and the sponsor was CITIC Securities.

Jiumu Chemical is a national-level key, specialized and new “little giant” enterprise. Its controlling shareholder is Wanrun Shares, which directly holds 45.33% of the shares. China Energy Conservation and its wholly-owned subsidiary CECEP Capital hold a total of about 25% of Wanrun shares and are the actual controllers of Jiumu Chemical. The company is based in the field of OLED front-end materials. Its core products include OLED pre-sublimation materials and OLED intermediates. It has developed more than 6,000 types of OLED pre-sublimation materials and intermediates. The products have achieved full coverage of downstream OLED luminescent layer and general layer materials.

At present, Jiumu Chemical's products are mainly exported, with overseas revenue accounting for nearly 90% in the first half of 2026. It mainly serves global leading OLED terminal material manufacturers such as Samsung SDI, Merck Group, DuPont, Idemitsu Kosan, LG Chem, and Tokuyama Group. Customer concentration is high, with the top five customers accounting for 83.65% of revenue in the first half, and the largest customer Samsung SDI accounting for 50.69% of revenue, which is highly related to the overseas terminal materials industry pattern.

Affected by factors such as changes in downstream demand and customer inventory adjustments, Jiumu Chemical achieved revenue of 878 million yuan, 962 million yuan, and 784 million yuan respectively from 2023 to 2025; net profits attributable to the parent company were 209 million yuan, 252 million yuan, and 180 million yuan. In the first half of 2026, it will achieve revenue of 417 million yuan and net profit attributable to the parent company of 82 million yuan.

It is worth noting that Jiumu Chemical's R&D investment continues to remain high, with R&D expenses accounting for 7.5% to 9.4% of revenue during the reporting period. It mainly deploys cutting-edge materials such as deuterated OLED intermediates and TADF-related intermediates, and has a number of independent core process technologies such as hydrogen-deuterium isotope replacement and large steric coupling.

In the early stage of this IPO application, Jiumu Chemical plans to raise 1.15 billion yuan in funds to invest in OLED display materials and other functional material projects + R&D center projects. After careful evaluation, the fundraising plan was adjusted before the meeting: the total scale of raised funds was adjusted to 522 million yuan, all of which were invested in OLED display materials and other functional material projects; the original R&D center project will no longer use raised funds, and will be constructed with the company's own and self-raised funds. The construction scale and expected benefits of the project itself will remain unchanged.

The second phase of the investment project will build factories, purchase production equipment, expand the production capacity of OLED intermediates and pre-sublimation materials, and simultaneously realize the iterative implementation of some new products to match the upstream material demand brought about by the expansion of downstream OLED panel production capacity, and further enhance the company's supply capacity of OLED front-end materials.

According to TrendForce Display’s observation, global OLED production capacity continues to shift to mainland China, and domestic 8.6-generation IT OLED production lines are gradually advancing the construction. Applications such as mobile phones, vehicles, notebooks, and AR/VR have also brought new demand for OLED materials. Against this background, domestic OLED front-end material companies continue to expand production capacity, improve product layout, and obtain financial support for further development through the capital market. Jiumu Chemical's IPO meeting also reflects the trend of the domestic OLED upstream materials industry continuing to promote capitalization and large-scale development.