A worker operates equipment at Zhixin’s factory in Lu’an, Anhui province. (Photo/Lu’an Municipal Government)

Chongqing - Chongqing Zhixin Industrial Co., Ltd. has recently received approval from the China Securities Regulatory Commission to register its IPO and list on the Shanghai Stock Exchange’s main board, making it the first Chongqing company set to debut on the A-share main board in 2025.

According to the prospectus, Zhixin plans to issue no more than 56.666667 million shares in this IPO, aiming to raise total proceeds of 1.329 billion yuan (about 188 million U.S. dollars). Approximately 1.029 billion yuan will be invested in expanding production line capacity and upgrading technical systems at the bases in Chongqing, Ningbo, and Anhui, with the remaining roughly 300 million yuan used to supplement working capital.

Zhixin was founded in 1995 and specializes in the design, machining, production, and sale of automotive stamping and welding parts, as well as related molds. Recognized as a national high-tech enterprise, it leads in body-in-white components. It has expanded into mold design and manufacturing as well as automation solutions for stamping and welding lines. Headquartered in Chongqing, the company, together with its mold and automation subsidiaries, operates manufacturing bases in more than ten cities across China.

Deeply embedded in the midstream of the new energy vehicle and power battery industry chains, Zhixin has become a tier-one supplier to a number of well-known domestic automakers, including Changan, Geely, BYD, NIO, Li Auto, Great Wall Motor, and Leapmotor. At the same time, Zhixin provides products to power battery and auto component manufacturers such as CATL.

As demand for new energy vehicles skyrockets, the IPO-funded projects are designed to ease capacity bottlenecks and improve automation and digitalization.

Zhixin’s operating revenue grew from 2.091 billion yuan in 2022 to 3.088 billion yuan in 2024, while net profit rose from 71 million yuan to 204 million yuan. The prospectus and analysis also indicate that during the reporting period, the share of revenue from stamping and welding components used in new energy vehicle models increased from about 25% in 2022 to more than 70% in the first half of 2025.

The overall pace of A-share IPOs has clearly slowed over the past two years. Data from Wind Information show that in the first ten months of this year, only 87 new companies completed IPOs on the A-share market, far fewer than the 275 recorded in the same period of 2023.

Zhixin submitted its IPO application to the Shanghai Stock Exchange on June 6, obtained approval from the Listing Committee on November 6, filed its registration application on November 14, and received registration approval on November 28.