On February 6, 2024, Hainan Drinda New Energy Technology Co., Ltd. (hereinafter referred to as “Junda Shares”) from Haikou, Hainan submitted a prospectus on the Hong Kong Stock Exchange to be listed on the Hong Kong Main Board.
Junda Co., Ltd. was listed on the main board of the Shenzhen Stock Exchange on April 25, 2017, under the stock code 002865.SZ.
Link to the prospectus of Junda Co., Ltd.:
https://www1.hkexnews.hk/app/sehk/2024/106223/documents/sehk24020600323_c.pdf
Main business
Junda Co., Ltd. was founded in 2003. As the world's leading professional photovoltaic cell manufacturer, it continues to focus on R&D, production and sales of high-efficiency photovoltaic cells. The photovoltaic cell business of Junda Co., Ltd. was acquired in September 2021 through the acquisition of Jietai Technology and its subsidiaries. Prior to the acquisition of the photovoltaic cell business, the original main business of Junda Co., Ltd. was R&D, production and sales of automotive plastic parts. The business was sold to the Yang family and terminated in June 2022.
According to Frost & Sullivan data, in the first six months of 2023, Junda's global market share of photovoltaic cells reached about 10.8%, ranking fifth, and the company's N-type TopCon battery global market share reached about 57.4%, ranking first.
Junda Co., Ltd. continues to be at the forefront of the industry among mainstream photovoltaic cells of different generations, such as N-type Topcon batteries and p-type PERC batteries, and has been leading the global photovoltaic cell industry in the transformation from P-type PERC batteries to N-type batteries. In the monocrystalline photovoltaic cell era that began in 2018, the conversion efficiency of the monocrystalline P-type PERC battery developed by the company and Jietai Technology reached more than 23.8%. According to Frost & Sullivan's data, the company's product performance is at the international advanced level, and it continues to lead the industry in non-silicon cost efficiency. It pioneered the upgrading of production lines from 166 mm photovoltaic cells to 182 mm photovoltaic cells, which promoted the industrial upgrading of photovoltaic cells from small to large sizes. In the N-type battery era that began in 2022, the company became the world's first professional photovoltaic cell manufacturer to develop and mass-produce N-type TopCon batteries. In December 2023, the company's TopCon battery mass production conversion efficiency exceeded 26.0%. According to Frost & Sullivan data, this has achieved the highest large-scale mass production conversion efficiency in the field of batteries in the photovoltaic cell industry.
In December 2023, Junda Co., Ltd. has an annual production capacity of about 50 GW of photovoltaic cells, of which the N-type Topcon battery has an annual production capacity of about 40 GW. The company has production bases in Shangrao, Chuzhou and Huai'an, respectively.
Junda Co., Ltd. mainly provides the following three key products:
210-N N-type TopCon monocrystalline cells. Launched in 2023, this type of battery has 18 main grids on both sides and a thickness of 130 μm ± 13 μm. Its size is 210mm*210mm ± 0.5mm. Its frontal efficiency is ≥ 26.0%, and its double-sided ratio is ≥ 80%.
182N N-type TopCon monocrystalline cell. Launched in 2022, it has 16 main grids on both sides, with a thickness of 130 μm ± 13 μm, and a size of 182 mm* 182 mm ± 0.5 mm. Its frontal efficiency is ≥ 26.0%, and its double-sided ratio is ≥ 80%.
182P P-type PERC monocrystalline cell. Launched in 2021, it has 10 main grids on both sides and a thickness of 170 μm ± 17 μm. The size is 182mm*182mm ± 0.5mm, its frontal efficiency is ≥ 23.8%, and the double-sided ratio is ≥ 70%.
The revenue of Junda Co., Ltd. comes from selling N-type Topcon batteries and p-type PERC batteries to customers, as well as providing customers with manufacturing services mainly for P-type PERC batteries.
Shareholder structure
According to the prospectus, as of January 31, 2024, the shareholding structure of Junda Co., Ltd. was:
The Yang family (Mr. Lu Xuyang, Mr. Yang Renyuan, Ms. Lu Huifen, Mr. Xu Xiaoping, Ms. Lu Xiaohong, Mr. Xu Weidong, Ms. Lu Yuhong, Mr. Xu Yong, Ms. Lu Xiaowen) owns 80% of Hainan Jindi* through the Yang family's investment and holds 20.46% of the shares
*Other shareholders of Hainan Jindi: Mr. Chen Bingkun (10%), Heze Mingda Enterprise Management (10%)
Ms. Lu Xiaohong holds 2.32% of the shares;
The Young family is able to exercise approximately 22.78% of the company's voting rights and is the single largest shareholder group.
Shangrao Development Zone, holding 9.78% of the shares;
Rao Zhanhong (Mr. Zheng Hongwei, 25.9%, executive partner) holds 4.07% of the shares on Jietai Technology's employee stock platform;
Mr. Zhang Manliang holds 0.40% of the shares;
Mr. Zheng Hongwei holds 0.40% of the shares;
Ms. Zheng Tong holds 0.1% of the shares;
Other A-share shareholders hold approximately 62.47% of the shares.
Directors and Executives
The board of directors of Junda Co., Ltd. consists of 10 directors, including 5 executive directors (Ms. Lu Xiaohong, Mr. Xu Xiaoping, Mr. Zhang Manliang, Mr. Zheng Hongwei, Ms. Zheng Tong), 1 non-executive director (Mr. Xu Yong), and 4 independent non-executive directors (Mr. Zhao Hang, Mr. Shen Wenzhong, Mr. Yang Youjun, and Mr. Zhang Liang).
3 members of the Supervisory Board (Ms. Wang Menglin, Ms. Lin Caiying, Ms. Lin Ting).
In addition to the executive director, executives include Ms. Huang Falian, Director of Finance, and Ms. Chen Pingxian, Director of Marketing.
Company performance
According to the prospectus, in the past nine months of 2021, 2022 and 2023, the operating income of Junda Co., Ltd. was RMB 1,639 million, RMB 11.086 billion and RMB 14.342 billion, respectively; net profit from continuing operations during the corresponding period was RMB 10 million, $513 million and RMB 1,638 million, respectively.
Intermediary team
The intermediary team for the IPO of Junda Co., Ltd. mainly consists of Huatai International, CMB International, and Deutsche Bank as its co-sponsors; Deloitte as its auditors; Tianyuan and Mimax are its lawyers in Hong Kong and the US; AllBright and Watkins are its Chinese lawyers and Hong Kong lawyers respectively; and Frost Sullivan as its industry advisors.
