Haike Xinyuan gem IPO plans to raise more than 1.5 billion to expand the production of lithium battery electrolyte solvents

On April 8, according to the announcement of the results of the 19th review meeting of the gem listing Committee of Shenzhen Stock Exchange, Shandong Haike Xinyuan material Technology Co., Ltd. (hereinafter referred to as: Haike Xinyuan) was approved for the first time. According to the draft of the meeting, the company's IPO plans to issue no more than 55.7408 million RMB common shares and raise 1.512 billion yuan. After deducting the issuing expenses, the net amount is all intended to be invested in lithium battery electrolyte solvents and supporting projects (Phase II).

Haike Xinyuan fund-raising investment and application plan (unit: 10,000 yuan)

The fund-raising project of Haike Xinyuan is planned to be implemented by Jiangsu Sipai New Energy Technology Co., Ltd. in Xuwei New District of Lianyungang City, with a total investment of 1.512 billion yuan. It will build a 40,000t / a battery grade vinyl carbonate plant, a 60,000t / a battery methyl ethyl carbonate / diethyl ester plant and two 70,000t / a plant. After completion, it will further improve the production capacity of lithium-ion battery electrolyte solvents, technical research and development capabilities and industry competitiveness.

Data show that Haike Xinyuan is mainly engaged in the R & D, production and sales of fine chemicals such as carbonate series lithium-ion battery electrolyte solvents and high-end propylene glycol.

As one of the major manufacturers of lithium-ion battery electrolyte solvents in the world, Haike Xinyuan products have entered the mainstream market system at home and abroad. The company's main domestic customers of carbonate series lithium-ion battery electrolyte solvents are Tianzhi Materials, BYD, Guotai Huarong, Shanshan shares, etc.; overseas main customers are Central Niazi, Korea Tianbao, South Korea ENCHEM and other well-known lithium battery electrolyte manufacturers. Among them, Tianzhi Materials, Guotai Huarong, South Korea ENCHEM and other customers' end customers are Tesla, Ningde Times, LG, Samsung SDI and Panasonic and other well-known lithium-ion battery manufacturers.

In terms of performance, in 2021, Haike Xinyuan's operating income reached 3.072 billion yuan, an increase of 85.03% over the same period last year; net profit was 607 million yuan, an increase of 297.46% over the same period last year.

In this regard, Haike Xinyuan analysis said that this is due to the vigorous development of the new energy vehicle industry, the lithium battery industry and the electrolyte solvent materials industry where the company is also showing a momentum of rapid development, the company as the leading manufacturer of lithium battery electrolyte solvent products, sales revenue has maintained steady growth. Among them, in 2021, Haike Xinyuan carbonate series income of 2.166 billion yuan, accounting for 70.51% of the total income.

According to the "White Paper on the Development of China Lithium Ion Battery electrolyte Industry (2022)" jointly released by EVTank, Ivy Economic Research Institute and China Battery Industry Research Institute, in 2021, global lithium-ion battery electrolyte shipments were 612000 tons, an increase of 83.2% over the same period last year, of which Chinese enterprises shipped 507000 tons of lithium-ion battery electrolytes, an increase of 88.5% over the same period last year. Accounts for 82.8% of global electrolyte shipments. Tianci ranked first with shipments of more than 100000 tons, while New Zebang and Guotai Huarong both shipped more than 50, 000 tons of electrolyte, ranking second and third, followed by BYD (self-produced) and Zhuhai Saiwei respectively.

From the top three sales customers of Haike Xinyuan, the company's electrolyte solvent is deeply bound to the electrolyte head enterprise. In 2021, the company's sales revenue from Tianci electrolyte solvents reached 824 million yuan, accounting for 26.81% of the operating income; the sales revenue from Shenzhen BYD electrolyte solvents reached 420 million yuan, accounting for 13.65% of the operating income; the sales revenue from Cathay Huarong electrolyte solvents reached 211 million yuan, accounting for 6.85% of the operating income.

In addition, EVTank also predicts that the global demand for lithium-ion battery electrolyte will reach 2.163 million tons by 2025 and 5.485 million tons by 2030, of which more than 85% will be met by Chinese enterprises.

The rising domestic demand for electrolyte is bound to bring considerable sales of electrolyte solvents. At the same time, based on the realized business performance, current contract orders, operating conditions and market environment, Haike Xinyuan expects operating income from January to March 2022 to reach 930 million yuan to 1 billion yuan, an increase of 42.65% over the same period last year, an increase of 53.39% over the same period last year. Net profit is 230 million yuan to 270 million yuan, an increase of 105.56% 141.30% over the same period last year.