Luxshare ICT (HKG: 02475), this year's largest initial public offering in Hong Kong, is set to begin trading on the main board of the Hong Kong Stock Exchange on July 9th. The company priced its H-share offering at the top of the range, at HK$63.28 per share, raising approximately HK$24.3 billion. This marks the largest IPO in the Hong Kong market since 2026.
Market interest has remained high, building on the strong response seen during the public offering phase. The Hong Kong public offering portion was initially oversubscribed by about 3.81 times, attracting participation from roughly 47,000 individuals. The international placement also saw robust demand, providing a solid foundation for the final top-end pricing. The IPO attracted 26 cornerstone investors, including prominent institutions such as Temasek Holdings, GIC, the Abu Dhabi Investment Authority (ADIA), Tencent Holdings Ltd (HKG: 0700), and Hillhouse Investment. These investors collectively subscribed to $1.5 billion worth of shares, accounting for about 48.44% of the H-shares offered globally.
Originating as a manufacturer of precision components for consumer electronics, Luxshare Precision Industry Co.,Ltd. (SHE: 002475) has evolved into a global leader in providing precision manufacturing and intelligent solutions. For the first quarter of 2026, the company reported revenue of RMB 83.888 billion, a year-on-year increase of 35.77%, with net profit attributable to shareholders reaching RMB 3.66 billion, up 20.24%. While consumer electronics remains its core business, the company is strengthening its product definition and fundamental R&D capabilities by integrating its ODM business and R&D teams. This is accelerating the introduction of its precision components and module products to both new and existing clients.
In addition to solidifying its consumer electronics foundation, Luxshare Precision is actively cultivating new growth avenues. Within its communications and data center segment, the company's cable and connector business for NVIDIA Corporation's (NASDAQ: NVDA) AI server racks is growing rapidly alongside shipment volumes. Its 800G/1.6T optical modules have entered the small-batch supply stage, with Goldman Sachs forecasting a compound annual growth rate of 67% for this business from 2025 to 2028. In the automotive electronics field, the acquisition of Germany's Leoni in April 2026 has enabled the company to directly enter the supply chains of mainstream European automakers. Revenue from the automotive electronics business surged from RMB 9.252 billion in 2023 to RMB 39.255 billion in 2025, with its contribution to total revenue jumping to 11.8%. From consumer electronics to AI computing power and smart vehicles, Luxshare Precision is progressively building a diversified growth model.
According to the prospectus, approximately 35% of the net proceeds from the offering will be used to expand production capacity and upgrade existing manufacturing bases. Around 30% is earmarked for technological R&D and enhancing smart manufacturing capabilities, with about 15% allocated for investments in high-quality targets within upstream, downstream, and related industries.
Analysts note that as another leading A-share company achieving a dual "A+H" listing, the strong demand in the international placement and the high level of endorsement from cornerstone investors reflect the international capital market's full confidence in Luxshare Precision's industry standing, earnings growth, and global strategy. The company's trading debut performance on July 9th will be a key focus for market observers.
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