According to recent news, on October 18, the China Securities Regulatory Commission (CSRC) released the "Supplementary Material Requirements for Overseas Issuance and Listing Filing (October 20, 2025 — October 24, 2025)." The CSRC's International Department issued supplementary material requests for 11 companies, including Yonyou Network Technology Co., Ltd., requiring clarification on the estimated fundraising amount after the full exercise of the over-allotment option.
Yonyou Network submitted its listing application to the Hong Kong Stock Exchange on June 27, 2025, with CMB International and Citic Securities acting as co-sponsors. The CSRC has requested the company to clarify the following matters, verified by its lawyers with definitive legal opinions:
1. Please explain whether the pledge of shares by the controlling shareholder and actual controller will potentially impact the company's control due to their debt repayment capabilities before and after this issuance. Consider whether this could lead to situations outlined in Article 8 of the "Administrative Measures for the Overseas Issuance and Listing of Domestic Enterprises." 2. Regarding business operations: (1) Clarify the specific contents of the value-added telecommunications services provided by the company and subsidiaries, the foreign shareholding ratio limits, and the compliance with foreign investment access policies before and after the issuance and listing. (2) State whether the subsidiary Xiamen Yonyou Tobacco is involved in the wholesale and retail of "tobacco leaves, cigarettes, reconstituted tobacco leaves, and other tobacco products," and if it has obtained the necessary qualifications and permits. (3) Describe the specifics of the company's and subsidiaries' business scope related to "advertising production, publishing, design, and agency," detailing whether relevant businesses are actively conducted and if necessary qualifications and permits have been obtained. 3. The company must strictly adhere to Article 8 of the "Administrative Measures for the Overseas Issuance and Listing of Domestic Enterprises," clarifying whether any prohibitive circumstances exist for overseas issuance and listing for the company and its domestic subsidiaries. 4. Supplement the legal opinion with details on the business and compliance operations of the company and its domestic subsidiaries as required under "Guidance on Applicable Regulatory Rules - Overseas Issuance and Listing Class No. 2," as the current review only covers key subsidiary situations. 5. Please clarify the estimated fundraising amount following the full exercise of the over-allotment option.
The prospectus indicates that Yonyou Network is a global leader in enterprise software and intelligent service provision, dedicated to R&D and innovation, sales, and service of intelligent software integrated with AI, big data, and cloud computing technology for enterprise digitization. According to Frost & Sullivan's data, it ranks as the largest market player in China's enterprise software and service market based on 2024 revenues.
Yonyou's strategic focus is on leading industry innovation through the development of tailored AI intelligent agent clusters for enterprise applications. Yonyou BIP is the company’s core cloud service platform aimed at providing comprehensive tools, capabilities, and resources for digital transformation and intelligent operations. With its robust technology foundation and modular delivery capabilities, the company has launched the Yonyou BIP product series, including YonBIP for large enterprises and YonSuite for medium-sized enterprises. Yonyou BIP effectively addresses long-standing pain points in traditional enterprise software, such as application isolation, data fragmentation, and disjointed AI capabilities, precisely meeting the advanced needs of enterprise digitization.
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