Guoen Shares Invests 100 Million Yuan to Establish New Yixing Company! Simultaneously Advancing PEEK Deployment and A+H Listing

Recently, Guoen (Yixing) New Materials Development Co., Ltd. was established with a registered capital.The registered capital is 100 million yuan, and its business scope includes new material technology research and development, plastic product manufacturing, and glass fiber reinforced plastic product manufacturing. Qichacha's equity penetration shows that the company is wholly owned by Guoen Co., Ltd.

The establishment of Guoen (Yixing) New Materials Development Co., Ltd. marks another strategic move by Guoen Co., Ltd. in the new materials sector.

Combined with its previous experience inThe layout of PEEK production technology development and industrialization promotion clearly shows that the company is continuously expanding its business to strengthen its competitiveness in the high-end new materials field.。

960 million yuan invested in entering PEEK

On August 1, Guoen Co., Ltd. announced that its wholly-owned subsidiary, Zhejiang Guoen Chemical Co., Ltd., plans to invest 960 million yuan in the construction of a pilot platform for the polymerization of 1,000 tons/year of new polyether ether ketone and styrene engineering materials, as well as a 300,000 tons/year modified and composite materials project.

Total site areaAn area of 100,400 square meters (approximately 150.6 mu) is planned for the construction of two polyether ether ketone (PEEK) polymerization production lines, one styrenic engineering materials polymerization pilot-scale unit, and thirty-six modified and composite material production lines.

The total investment of the project is9.6 billion yuan，The project construction funds come from self-owned capital.

Why did Guoen Co., Ltd. enter the PEEK material industry?？

PEEK materials are characterized by high temperature resistance, lightweight, and high strength, and demand is surging in fields such as aerospace, new energy vehicles, and humanoid robots. For example, Tesla's Optimus Gen2 uses PEEK materials to achieve a weight reduction of 10 kilograms. The market predicts that by 2027, the domestic PEEK market size will exceed 5 billion yuan, with an annual compound growth rate of over 25%. Entering the PEEK market can seize the high-end special engineering plastics market and enhance the company's competitiveness in the field of new chemical materials.

Guoen's main business is modified plastics.PEEK is a type of specialty engineering plastic, belonging to the field of new chemical materials. The company can leverage its existing resources, such as polymer modification technology and continuous fiber reinforcement processes, to create synergy with the PEEK project and establish a full industry chain layout of "core resin–intermediate products–end components," further consolidating its position in the field of new chemical materials.

Has the A+H listing target been achieved?

Guoen Co., Ltd. onFounded in 2000 in the Qingda Industrial Park, Chengyang District, Qingdao, the company has been deeply engaged in the chemical and healthcare industries. "Zhuan Su Shi Jie" is an industry platform focused on the plastics and chemical sector, with its main emphasis on the chemical segment.

At present, the companyThe products of the major chemical sectorThe production capacity is as follows:

Organic polymer modified materialsThe current production capacity is 1.08 million tons, and the production capacity under construction is 300,000 tons.

Organic polymer compositesThe current production capacity is 400,000 tons, and there is a construction capacity of 100,000 tons.

Green petrochemical materials and new materials:Existing production capacity is 900,000 tons, and 1,020,000 tons are under construction.

Polystyrene (PS):The first phase of Zhejiang Yisu’s 600,000 tons/year PS project has been fully commissioned, while the second phase, with a capacity of 400,000 tons/year, is progressing steadily. Hong Kong Petrochemical’s 250,000-ton PS production capacity adopts the Italian Eni Versalis continuous mass polymerization process, with product quality benchmarked against high-end overseas grades.

Coproduction of styrene and propylene oxide:The Guoen Dongming 200,000-ton/year styrene co-producing 80,000-ton/year propylene oxide plant adopts advanced ethylbenzene co-oxidation process technology. (The first domestic chemical production unit capable of simultaneously obtaining two important basic organic raw materials).

EPS：Rizhao Guoen Chemical currently has an EPS production capacity of 120,000 tons per year.

Guoen Co., Ltd. has successfully established three major business engines in the large chemical industry, namely: green petrochemical materials; organic polymer modified materials; and organic polymer composite materials, forming...The vertical integration industry chain of "monomer - synthetic resin - organic polymer modified materials/organic polymer composite materials - products." The products cover many important industries such as home appliances, automobiles, new energy, consumer electronics, packaging, medical, and biodegradable materials.

After 15 years of development and growth, Guoen Co., Ltd. was listed on the Shenzhen Stock Exchange in 2015.

From 2017 to 2020, Guoen Co., Ltd. expanded into the health industry by acquiring companies such as Yiqing Bio and Dongbao Bio, thus establishing a dual main business framework of "materials + health."

After 2020, the company further expanded its business boundaries by entering high-growth sectors such as new energy (lithium battery separators) and optoelectronic displays (MiniLED), enriching its business matrix.

On the evening of April 27, 2025, the company announced the initiation of preparations for listing on the Hong Kong Stock Exchange; in May, the relevant proposal was approved; in June, the application for the issuance and listing of H shares was submitted; on July 10, the prospectus was officially unveiled.

From an industry perspective, getting listed on the Hong Kong Stock Exchange is a key step in its globalization strategy. By leveraging Hong Kong's status as an international capital hub, it aims to attract global investors' attention, enhance brand awareness internationally, pave the way for expanding into overseas markets (such as Southeast Asia and Europe & America), and promote modified plastics.PEEK and other materials have entered the international high-end supply chain.

This time Guoen Technology Hong KongThe IPO proceeds are intended to be used for the following purposes: allocation to a new production base in Thailand to expand the company's production capacity; allocation to expand the production capacity of the company's new production base in China; allocation to the company's investments in Hong Kong, including establishing a regional headquarters and upgrading production facilities; and for working capital and general corporate purposes.

3. What is the quality of the performance?

In 2024, Guoen Co., Ltd. achieved an operating revenue of 19.22 billion yuan (source: 2024 annual report), representing a year-on-year increase of 10.21%. Since its listing in 2015, the company has maintained steady growth.

However, the company's net profit sinceAfter reaching a peak of 731 million yuan in 2020, it experienced fluctuations (643 million in 2021, 662 million in 2022, 466 million in 2023, and 676 million in 2024), in contrast to the continuous growth in revenue over the same period. Form a contrast.

The gross profit margin level has shown a continuous downward trend over the years.The percentage decreased from 14.75% in 2021 to 8.71% in 2024. In the large chemical industry sector, due to the high marketization degree of products and industry capacity expansion leading to oversupply, products such as polystyrene have fallen into price wars; moreover, the sector's high dependency on bulk commodities like petroleum results in rising raw material price volatility. Downstream customers have strong bargaining power, making it difficult to pass on costs, thereby compressing profit margins.

The healthcare sector is inIn 2024, revenue reached 850 million yuan, a year-on-year decrease of 12.39%. Among this, the sales volume of pharmaceutical and edible gelatin series products was 6,887.26 tons, down 30.66% year-on-year. The segment's gross profit margin was 22.32%, a decrease of 2.58 percentage points compared to 2023. This was mainly affected by the pharmaceutical volume-based procurement policy and high marketing expenses during the market expansion period for ToC-end products.

Despite facing challenges in performance, there are many positive factors. From the perspective of business layout, the company has accumulated a large number of high-quality long-term clients, and its business has extended into multiple fields. These solid foundations give reason to expect that its subsequent development can achieve new breakthroughs.

Editor: Yun Simeng (Carrie)

Source: High Performance Resins and Applications, Unicorn Insider, DT New Materials, Special Plastics Vision