On December 23, 2024, Peking Saimo Technology Co., Ltd. (referred to as "Saimo Technology") disclosed its prospectus after hearing at the Hong Kong Stock Exchange, and may soon issue H shares listed on the Main Board in Hong Kong. It submitted applications four times on December 30, 2022, October 31, 2023, May 29, 2024, and December 4, 2024.
Link to the prospectus of Saimo Technology after the hearing:
https://www1.hkexnews.hk/app/sehk/2024/106947/documents/sehk24122301616_c.pdf
Main Business
Saimo Technology, as a technology company focused on intelligent connected vehicles (ICV) simulation testing technology, mainly engages in the design and development of ICV simulation testing products and provides related testing, verification, and evaluation solutions.
According to Frost & Sullivan data, in terms of revenue in 2023, Saimo Technology is the largest market participant in China's ICV testing, verification, and evaluation solutions Industry, with a market share of 5.3%. Based on revenue in 2022, Saimo Technology is the largest market participant in China's ICV simulation testing Software and platform market, with a market share of approximately 5.9%. Saimo Technology is also one of the few market participants in China that can provide one-stop ICV testing, verification, and evaluation solutions.
Saimo Technology self-developed and commercially launched the ICV simulation testing, verification, and evaluation toolchain Sim Pro in 2018. In June 2021, Sim Pro obtained ASIL D functional safety certification under the international standard ISO 26262, according to Frost & Sullivan data, making it the world's first ICV simulation testing, verification, and evaluation toolchain to receive the highest level of functional safety certification globally. Saimo Technology also self-developed FuSa and SOTIF analysis tools for ICV - Safety Pro, which, according to Frost & Sullivan data, makes the company one of the providers of integrated solutions that combines self-developed safety analysis tools with simulation testing tools in China. Safety Pro received ISO 26262 TCL 2 certification in July 2023.
As of November 24, 2024, Saimo Technology has participated in providing ICV simulation testing services and/or ICV closed-site testing services in cities such as Peking, Hangzhou, and Shaoxing.
Saimu Technology generates revenue through the sale of products and the provision of services, with products being standardized and customized ICV-related products, including:
ICV simulation testing software and platforms, supporting the development of customized functions to meet the varying needs of customers. The company identifies four decisive elements of the ICV simulation testing software, which include highly customized software, support for multiple or an unlimited number of users simultaneously, equipped with high-spec simulation testing hardware, and provision of adaptation, debugging, and related custom maintenance services. In addition, the company also sells standalone software tools Sim Pro and Safety Pro.
ICV data platforms and Other Products. Since 2021, the company has been selected by several state-owned enterprises in China to build cloud-based ICV data centers or platforms. Starting in 2022, it also began offering Other Products, including Servers, CPUs, RAM, and other hardware components, providing value-added services such as hardware customization services, integration, adaptation, and debugging services before selling Other Products.
Saimu Technology's services include:
ICV testing and related services, including simulation testing and related services, closed-site testing and related services, and platform operation and maintenance services.
Consulting and Other services. Since January 2019, the company has begun providing consulting and Other services to both state-owned and private Auto Manufacturers. The company assists Auto Manufacturers in understanding and complying with ICV-related domestic and international laws, regulations or standards, particularly concerning software upgrades, OTA technology, simulation testing, SOTIF, FuSa stakeholders, and ICV-related cybersecurity and data security. In addition, it also helps government departments or their state-owned enterprises organize meetings and seminars related to ICV and the Industry.
Shareholder Structure
The prospectus shows that Saimu Technology's shareholder structure before the listing is
Mr. Hu Dalin, Ms. Ma Lei, and Mr. He Feng own approximately 64.1%, 25.6%, and 10.3% of Space Technology, holding 30.2%;
Mr. Hu Dalin, Mr. He Feng, Ms. Ma Lei, and 14 other employees of the group own approximately 50.0%, 44.1%, 2.1%, and 4.3% of the Employee Incentive Platform Tongda, holding 15.3%;
Space Technology and Tongda are acting in concert and will exercise voting rights in accordance with Space Technology's voting instructions and vote unanimously.
The wholly-owned subsidiary of the Ministry of Industry and Information Technology, CAE Detection, holds 28.1%;
Dr. Kan owns approximately 9.1%, and the other 31 independent third parties own 90.9% of Beijing Bangbang, holding 2.9%;
Mr. Li Ren and Mr. Liu Jiang, through Qianqing City Zhiyuan, hold 3.8%;
Beijing Shunyi State-owned Assets Supervision and Administration Commission and Beijing Shunyi Investment Fund, through Beijing Shunyi, hold 2.8%;
Huawei, through Hubble, holds 2.8%;
Metro Land Corporation (600683.SH) has a stake in Beijing Foundation, holding 2.8%;
CITIC SEC (600030.SH, 06030.HK), through CITIC Investment, holds 2.8%;
Jingwei Hengrun (688326.SH) holds 2.8%;
Nam Cheong Daohong Industrial Co., Ltd. owns 99% of Qiongqing City Junhe, holding 2.8%;
Beijing Haidian District State-owned Assets Supervision and Administration Commission under Beijing Centergate Technologies holds 2.8%.
Board of directors and executives
The Board of Directors of Saimu Technology consists of 9 directors, including:
3 executive directors: Mr. Hu Dalin (Chairman of the Board), Mr. He Feng (General Manager and Board Secretary), and Ms. Ma Lei (Deputy General Manager);
Three non-executive Directors: Dr. Kan Zhigang (Director and CEO of Peking Bangbang), Dr. Yao Xiang (Deputy Director of the Operation and Management Department of the China Electronic Information Industry Development Research Institute), and Ms. Gong Xiao (General Manager of the Siasun Robot&Automation Engineering Technology Center for Intelligent Connected Vehicles at the China Software Testing Center);
Three independent non-executive Directors: Ms. Guo Lili, Mr. Huang Hua, and Mr. Huang Haojun.
The Supervisory Board has three members: Dr. Cao Gang, Mr. Ni Jie, and Ms. Xue Na.
In addition to the executive Directors, senior management includes Vice General Manager Mr. Yang Qiang, Chief Financial Officer Ms. Liang Jun, and Director of the Forward-looking Business Unit Dr. Xue Xiaoqing.
Company Performance
The prospectus shows that in the past years 2021, 2022, 2023 and the first six months of 2024, the revenue of Saimu Technology was RMB 0.107 billion, 0.145 billion, 0.176 billion, and 0.56 billion respectively, with corresponding net income of RMB 37.571 million, 48.686 million, 53.431 million, and 4.599 million.
Intermediary Team
The main intermediary team for this IPO includes:
光银国际 is its exclusive sponsor and overall coordinator;
CITIC SEC is its overall coordinator;
PwC is its auditor;
Zhong Lun and Ming De serve as its Chinese lawyer and Hong Kong lawyer respectively;
Jingtian Gongcheng and Jingtian Gongcheng (Hong Kong) serve as its Brokerage China lawyers and Brokerage Hong Kong lawyers respectively;
Frost & Sullivan is its independent industry advisor.