XIRUI (02507.HK) announced that it plans to sell 54.8759 million shares globally, 5.4876 million shares in Hong Kong, and 493.883 million shares internationally, with an additional 15% over-allotment option; from June 28, 2024 to July 9, 2024 the company will accept applications for shares, with the expected pricing day on July 10, 2024; the offering price will be HKD 27.34-28.00 per share, with a minimum trading unit of 100 shares; China International Capital Corporation will be the exclusive sponsor; the expected shares will begin trading on the main board of the Hong Kong Stock Exchange on July 12, 2024.

The company designs, develops, manufactures, and sells private aviation industry recognized high-quality aircraft, with innovations in safety, technology, connectivity, performance, and comfort. According to data from Frost & Sullivan, based on delivered quantity, the company had a 32.0% market share of the global private aviation market in 2023. The company's two aircraft product lines (the SR2X series and the Vision Jet) have successfully established industry standards for personal planes. They have been certified and validated in more than 60 countries. According to the General Aviation Manufacturers Association ("General Aviation Manufacturers Association") (according to Frost & Sullivan, it is the only trusted and authorized industry association in general aviation), the SR2X series aircraft has been the best-selling single-engine piston aircraft for the past 22 years. Since the first delivery of the Vision Jet in 2016, it has allowed owners to fly at jet speeds without the support of a dedicated pilot or flight department. According to the General Aviation Manufacturers Association and Frost & Sullivan, the Vision Jet has been the best-selling business jet for six consecutive years. The company offers a wide range of products and services, including maintenance, upgrades, training, and social activities under the Cirrus brand.

Since its establishment in Wisconsin, USA in 1984, the company has delivered over 9,700 SR2X series aircraft and over 500 Vision Jets. As part of the company's extensive product portfolio strategy, the SR2X series, which includes the entry-level SR20 and the SR22 and SR22T with constantly improving performance and capabilities, meet the different needs and preferences of customers for single-engine piston aircraft. The SR2X series aircraft typically carry up to four adults and one child. The Vision Jet is aimed at the different and higher-end markets of the private aviation industry, offering significantly enhanced performance, capabilities, and specifications, at a higher price. The Vision Jet typically carries up to five adults and two children.

The company has entered into cornerstone investment agreements with cornerstone investors. Pursuant to the agreements, the cornerstone investors agreed to subscribe for, or procure that certain designated entities (including qualified domestic institutional investors ("QDII") approved by relevant Chinese authorities) to subscribe for, a certain number of offer shares at the offer price, subject to certain conditions and limitations, with an aggregate subscription amount of approximately HKD 851 million. Assuming an offer price of HKD 27.67 per share (i.e. the middle point of the indicative offer price range as set out in this prospectus), the cornerstone investors (and, for those cornerstone investors who subscribe for offer shares through subscribing entities designated by them (including QDII)), in total, will subscribe for approximately 30.7685 million offer shares. The cornerstone investors include China State-owned Enterprise Restructuring Fund II Co., Ltd. ("SOE Fund II"), Taicang High-tech Innovative Development Co., Ltd. ("Taicang Gaoke"), Changshu Southeast Industrial Investment Co., Ltd. ("Changshu Southeast"), Wuxi Jianfa Xintou Aerospace Investment Partnership Enterprise (Limited Partnership) ("Wuxi Jianfa Xintou"), and Wuxi Jintou Lianying Industrial Investment Partnership Enterprise (Limited Partnership) ("Wuxi Jintou").

After deducting the underwriting commission and other estimated expenses already paid and payable by the company in respect of the global offer (assuming the over-allotment option and the adjustment option are not exercised), the net proceeds from the global offer will be approximately HKD 1,394 million (equivalent to approximately USD 178 million), assuming the offer price is HKD 27.67 per offer share (i.e. the middle point of the indicative offer price range). The company intends to use the net proceeds from the global offer (assuming the over-allotment option and the adjustment option are not exercised) of approximately HKD 1,394 million as follows: 30% of the net proceeds will be used to further promote the company's product portfolio, existing products, features, and capabilities, as well as extend the lifecycle of the company's product portfolio; 30% of the net proceeds will be used to enhance the company's production efficiency and capacity; 30% of the net proceeds will be used to provide funding for the enhancement and expansion of products and services provided within the company's ecosystem for sales and support; and 10% of the net proceeds will be used for general corporate purposes to support the company's business operations and growth.