The bookbuilding period for cathode copper manufacturer Jinxun Resources (03636), which ran from December 31, 2025, to January 6, 2026, has now concluded. Market sources indicate that Jinxun Resources has secured HK$9.95 billion in margin financing from brokers; based on a public offering size of HK$110 million, this represents an oversubscription of 89.4 times. Jinxun Resources plans to issue 36.766 million H-shares, with 10% allocated to the Hong Kong public offering and 90% to the international offering, plus a 15% over-allotment option. The offer price is set at HK$30 per share, with a board lot of 200 shares, making the entry cost for one lot HK$6,060.50; the total fundraising amount is HK$1.1 billion. The company is expected to commence trading on January 9, with Huatai International acting as the sole sponsor. For this IPO, Jinxun Resources has secured eight cornerstone investors: Glencore AG (a wholly-owned subsidiary of Glencore), Stoneylake Global, North Rock, ChinaAMC (Hong Kong), New Asia Fuyi, Lianyue Group, Zhengxin Group, and Sunwoda Treasury. These cornerstone investors have committed a total of $60.2552 million to subscribe for 15.6272 million shares, accounting for 42.50% of the global offering. According to its prospectus, Jinxun Resources is a leading manufacturer of high-quality cathode copper with a strong presence in the Democratic Republic of Congo (DRC) and Zambia. Data from Frost & Sullivan shows that, as of December 31, 2024, the company ranked fifth among Chinese cathode copper producers by production volume in the DRC and Zambia, and was the only Chinese company to be ranked among the top five in both jurisdictions. Jinxun Resources' core business focuses on developing and supplying premium copper resources to meet China's substantial copper demand. Leveraging Africa's abundant copper reserves, the company has strategically expanded its production capacity and achieved deep integration across the entire industrial value chain. The company has established advanced cathode copper smelting operations in the DRC and Zambia, significantly enhancing its economic efficiency and market position. Furthermore, capitalizing on the natural co-occurrence of copper and cobalt in African ore reserves, the company is actively developing downstream cobalt-related product lines. This move represents a strategic positioning within the rapidly growing new energy materials sector. Financially, for the years 2022, 2023, and 2024, and for the six months ended June 30, 2024, and 2025, the company's revenues were RMB 637 million, RMB 676 million, RMB 1.77 billion, RMB 596 million, and RMB 964 million, respectively. During the same periods, it recorded net profits of RMB 83.5 million, RMB 29.1 million, RMB 202 million, RMB 93.1 million, and RMB 135 million, respectively. The prospectus states that Jinxun Resources intends to allocate approximately 80% of the net proceeds from the global offering to expanding its core business. Approximately 10% will be used to repay certain interest-bearing bank borrowings, and the remaining 10% is earmarked for working capital and general corporate purposes.
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