On May 20, 2024, Quantgroup Technology Co., Ltd. (“Quantifier”) from Beijing submitted a prospectus on the Hong Kong Stock Exchange to be listed on the Hong Kong Main Board. This is another application after it was submitted and expired twice on June 29, 2022 and February 21, 2023.
Quantitative prospectus link:
Main business
Quantitative, founded in 2024, is a digital solution provider that provides a set of digital solutions to help business partners accurately market services and enable product transactions. It also helps it launch online and offline advertisements, maintain and expand the end user base through the company's technology and applications, and mainly generates revenue based on the effectiveness of the company's digital solutions.
According to Frost & Sullivan, in 2023,
Quantifier ranked 7th among digital solution providers based on proprietary apps/websites in China in terms of revenue, accounting for 0.5% of the market share;
Quantifiers ranked second among digital solution providers based on proprietary apps/websites in terms of pay-for-performance revenue, accounting for 6.7% of the market share;
In terms of total transactions, Quantifier ranked second among Chinese consumer finance e-commerce platforms, accounting for 17.0% of the market share.
The quantifier solution is supported by the company's SaaS operating system and algorithm technology (quantum planet), which allows business partners to integrate product and service provision, fund transfer, customer acquisition and data sharing under different proprietary applications, thereby effectively digitizing business operations.
Digital marketing. Quantifiers provide accurate marketing services to financial institutions, analyze the preferences and customer profiles of potential end customers and market the services of business partners to end customers through quantitative planets, thereby connecting business partners and end customers through the company's application, and the company earns a certain percentage of the transaction value of the enabled services. During the track record period, Quantifier provided digital marketing to financial institutions (through Yang Xiaoyan, an upgraded version of credit wallets) and local merchants (through consumption maps). In May 2022, the company began advertising online and offline for business partners. As far as digital marketing provided to financial institutions is concerned, the company helps financial institution customers enable loan transactions through two functions (enjoy flower cards (installment payment option) and reserve funds).
Commodity trading enablement. Quantifiers provide business partners with new ways to efficiently sell and distribute products through modules on the quantitative planet. During the track record period, Quantifier mainly provided commodity trading capabilities to business partners (for commodity suppliers) through Yang Xiaomei.
Shareholder structure
According to the prospectus, quantifiers are in the pre-listing shareholder structure,
Dr. Zhou Hao, through Mars Legend, holds 31.54% of the shares;
Ms. Sun Jinghuai (Dr. Zhou's spouse) holds 2.37% of the shares through Mercury Valley;
Employee shareholding platform Jupiter Rock, holding 7.17% of shares;
Employee shareholding platform Venus Energy holds 4.12% of shares;
As of May 15, 2024, the above shareholders can exercise a total of about 45.21% of their voting rights and are controlling shareholders. After listing, Dr. Zhou will no longer exercise his voting rights for Jupiter Rock and Venus Energy.
Mr. Li Yan holds 2.21% of the shares through Saturn Storm;
Sunshine Life Insurance holds 15.42% of the shares;
Fosun International, through East Asia Star Investment (BVI), holds 9.93% of the shares;
Gao Rong Capital, through Gaorong QTG Holding, holds 5.76% of the shares;
Shanghai's biggest names invest and manage, holding 2.93% of the shares;
CGC Enterprises, holding 2.59% of the shares;
Taironghaoyuan holds 2.42% of the shares;
Mr. Li Yan holds 1.90% of the shares through Saturn Storm;
Suyuan Limited, holding 1.81% of the shares;
Shitai competition points, holding 1.90% of the shares;
Fuhai Huachuang holds 1.87% of the shares;
Knows the rules and holds 1.70% of the shares;
Tianyi match points, holding 1.65% of the shares;
Jiaqing Investment holds 1.49% of the shares;
General grew and held 1.17% of shares;
Shanghai Chuyuan holds 0.05% of the shares.
Directors and Executives
The Quantitative Board consists of 9 directors, including:
4 Executive Directors: Dr. Zhou Hao (Chairman of the Board, CEO), Mr. Li Yan (Chief Financial Officer), Mr. Song Yang (Senior Head of Capital Finance), and Mr. Zhou Qiang (Chief Technology Officer);
2 non-executive directors: Mr. Zhang Yi, Ms. Liu Fangwei;
Three independent non-executive directors: Mr. Sun Junchen, Ms. Jiao Jie, and Ms. Guo Yongfang.
Company performance
According to the prospectus, in the past three fiscal years of 2021, 2022 and 2023, the quantitative revenue was RMB351 million, 475 million and RMB530 million, respectively. The corresponding net profit was RMB 54.06 million, -283,000 and RMB 3.643 million, respectively. The corresponding adjusted net profit was RMB 67 million, $126 million and RMB 148 million respectively.
