On February 21, guolianlongtou Luxshare Precision Industry Co.Ltd(002475) announced that it plans to raise no more than 13.5 billion yuan for the construction of intelligent wearable device product line and technology upgrading project, intelligent mobile terminal precision component product line construction project, new energy vehicle high-voltage connection system product line construction project, semiconductor advanced packaging and testing product line construction project Construction of intelligent production line.
For the fixed increase of Luxshare Precision Industry Co.Ltd(002475) , there are different views among investors. Some investors said that good stocks should be issued more. Some investors also said that the amount of fund-raising was too much.
proposed to invest in consumer electronics and automotive electronics
According to Luxshare Precision Industry Co.Ltd(002475) announcement, 3.5 billion yuan will be invested in the construction and technology upgrading project of intelligent wearable device product line, 2.7 billion yuan will be invested in the construction project of intelligent mobile terminal precision parts and components product line, and 1.5 billion yuan will be invested in the construction project of new energy vehicle high voltage connection system product line, It is proposed to invest 950 million yuan in the construction project of semiconductor advanced packaging and testing product production line, 800 million yuan in the construction project of intelligent mobile terminal display module product production line, 500 million yuan in the construction project of intelligent automobile connection system product production line and 3.55 billion yuan in supplementary working capital.
Luxshare Precision Industry Co.Ltd(002475) is one of the leading companies in the A-share apple supply chain. In addition to supplying parts to apple, the company is also an assembly manufacturer of Apple’s airpods headphones and apple watches. In addition, in 2020, Luxshare Precision Industry Co.Ltd(002475) joint controlling shareholders acquired Wistron Kunshan factory and cut into the field of Apple iPhone assembly.
Shenwan Hongyuan Group Co.Ltd(000166) according to the analysis, the company only got involved in Apple’s iPhone assembly business in 2021, and directly OEM the latest iPhone 13 pro.
Luxshare Precision Industry Co.Ltd(002475) said in the announcement that the raised investment project mainly covers the fields of packaging and testing, display modules, components and system assembly of smart mobile terminals (including smart phones, smart wearable devices, smart cars, etc.), and related downstream industries mainly include consumer electronics and automotive electronics.
Luxshare Precision Industry Co.Ltd(002475) said that with the advent of 5g era, the scale of global mobile phone market shows an upward trend, and the demand for corresponding precision electronic devices and components is also increasing year by year. With the advent of 5g era, the global mobile phone shipment amount is expected to increase to nearly $600 billion in 2022. It is estimated that the global shipments of smart wearable devices will reach 632 million units in 2024, with a broad market space.
On the interactive easy platform, some investors asked whether they had received new mobile phone orders from major customers as expected this year? On February 21, Luxshare Precision Industry Co.Ltd(002475) responded that the company’s business performance continued to meet customer needs and received high recognition from customers. The company will serve customers more deeply as an important partner, and relevant business cooperation will be carried out smoothly without any failure to meet the expectations of customers and the company.
grab the big cake of the automobile industry
In the announcement, Luxshare Precision Industry Co.Ltd(002475) said that the intelligent transformation of the automotive industry and the gradual popularization of new energy vehicles drive the development of upstream industries. According to statista’s prediction, the global automotive electronics market will reach US $217.9 billion in 2020 and is expected to reach US $400.3 billion by 2028, with a compound annual growth rate of about 8%.
Recently, Luxshare Precision Industry Co.Ltd(002475) announced cross-border vehicle construction. On the evening of February 11, Luxshare Precision Industry Co.Ltd(002475) announced that the company signed the strategic cooperation framework agreement with Chery group and planned to establish a joint venture with Chery new energy, specializing in the R & D and manufacturing of new energy vehicles. In addition, the controlling shareholder of the company, Lixun Co., Ltd., plans to purchase the relevant equity of Chery with RMB 10.054 billion.
On the afternoon of February 13, the company’s teleconference attracted 221 institutions. Wang Laichun, chairman and general manager of Luxshare Precision Industry Co.Ltd(002475) , said that Luxshare Precision Industry Co.Ltd(002475) does not manufacture complete vehicles, but cooperates with the ODM business of Chery new energy. As for the main customers of the newly established joint venture, Luxshare Precision Industry Co.Ltd(002475) said that ODM business has a relatively clear landing project, which will be put into operation in about 12-18 months. It is expected that the main target business of the joint venture will be the business of foreign traditional brand automobile enterprises and the business of China’s new smartev brand.
According to the announcement on Luxshare Precision Industry Co.Ltd(002475) February 21, from 2018 to 2020, the R & D investment of the company was 2.515 billion yuan, 4.376 billion yuan and 5.745 billion yuan respectively, showing a rising trend.
According to the announcement, the issuance objects of this fixed increase are no more than 35 specific objects that meet the conditions stipulated by the CSRC. The number of shares in this non-public offering does not exceed 2.123 billion (including this number). According to the calculation of the upper limit of the number of shares in this non-public offering, after the issuance, the total share capital of the company will be changed from 7.077 billion shares to 9.2 billion shares, and the proportion of shares held by Wang Laichun and Wang Laisheng, the actual controllers, will be changed from 38.67% to 29.75%.
