The hearing stage has been reached, marking a milestone for the A+H project.
On the evening of October 9, Suzhou Dongshan Precision Manufacturing Co., Ltd. (ASX: 002384) announced that it had been applying to issue overseas-listed shares (H shares) and list on the Main Board of the Hong Kong Stock Exchange. The Hong Kong Stock Exchange held a listing hearing on October 8, 2026, and the listing committee has reviewed the company's listing application, though the relevant letter does not constitute formal listing approval and the company still needs to obtain approvals and clearances from relevant regulators and stock exchanges. This marks a key step forward in the A+H listing path of this core manufacturing enterprise in the AI computing power supply chain.
The company obtained overseas issuance filing with the China Securities Regulatory Commission in September, and combined with the completion of this hearing review, domestic and overseas approval processes are advancing on both fronts. Looking back at the entire filing cycle, Dongshan Precision initially submitted its H-share listing application to the Hong Kong Stock Exchange on November 18, 2025. In May 2026, the first version of the prospectus automatically lapsed due to the expiration of its six-month validity period, and the company promptly updated and submitted a new version of the listing materials on May 19. On September 29, the company announced that it had received a notice of filing for overseas issuance and listing from the China Securities Regulatory Commission (Guohehan [2026] No. 2328), completing the domestic filing step and obtaining approval to issue no more than 234.04 million overseas-listed ordinary shares, clearing domestic regulatory obstacles for the Hong Kong issuance and laying the groundwork for this hearing.
The joint sponsors of this H-share issuance are UBS Group, Haitong International, GF Securities, and CITIC Securities. The listing documents show that the target subscribers of this H-share issuance are limited to qualified overseas investors and domestic investors with qualified overseas investment eligibility.
Heavy-asset expansion pressure is prominent, and Hong Kong fundraising carries the strategic breakout of the computing power supply chain
Dongshan Precision is a leading domestic precision manufacturing company, with core segments covering PCBs, optical modules, optical chips, optoelectronic displays, and structural components, deeply tied to the AI server, communications, and automotive electronics supply chains. According to the latest prospectus, citing data from CIC, based on 2025 revenue, Dongshan Precision is the world's largest PCB supplier for edge AI devices, the world's second-largest flexible board supplier, and one of the world's top three PCB suppliers. At the same time, Dongshan Precision is also one of the few suppliers globally with integrated in-house manufacturing capabilities across PCBs, optical chips, and optical modules. Together, these account for approximately 9% to 14% of AI server material costs.
From a financial perspective, Dongshan Precision achieved revenue of 27.798 billion yuan in the first half of 2026, a year-on-year increase of 63.95%; net profit attributable to shareholders was 2.957 billion yuan, a year-on-year surge of 290.09%, fully releasing profit elasticity, with AI server PCBs and high-speed optical module businesses becoming the core growth engines.
However, the asset pressure it faces is also gradually becoming more prominent. AI computing power capital expenditure continues to rise, bringing enormous capex pressure. The company previously planned to invest 8.1 billion yuan to expand optical communications capacity, laying out high-speed optical modules and optical chips, and later raised this to US$1.7 billion. This track is characterized by rapid technological iteration and long return cycles, putting considerable pressure on the company's cash flow reserves.
This Hong Kong IPO can not only supplement the company's financing funds, but also connect with overseas capital and funds, broadening the structure of financing sources; at the same time, it can enhance the trust of overseas customers and overseas partners, facilitating subsequent overseas plant construction, supply chain mergers and acquisitions, and other capital operations.
Opportunities and constraints coexist: dual capital markets face new challenges
For Dongshan Precision, this A+H arrangement is an opportunity, but it also means simultaneously accepting the continued strict constraints of both mainland and Hong Kong regulators, and the differences in valuations between the two markets, cross-border information disclosure, and investor communication costs will all become long-term issues.
At the same time, overseas geopolitical policy risks are becoming a variable that the industry cannot ignore. During the same period as this hearing, previous market rumors of optical chip procurement restrictions triggered sharp volatility in the sector, and companies including Dongshan Precision and Changguang Huaxin responded urgently. This geopolitical uncertainty also adds variables to the company's optical communications expansion plan. If subsequent overseas regulatory policies take effect, the company's overseas shipments and new capacity utilization will face tests, which is also a long-term risk that institutional investors are focusing on during this A+H listing process.