Company Name: Shanghai Zhida Technology Development Co., Ltd.

Date of Prospectus: September 30, 2025

Shanghai Zhida Technology IPO: Deep Dive Into Offer Structure, Financials, Risks, and Growth Potential

Shanghai Zhida Technology Development Co., Ltd. (IPO Symbol: 2650) is set to debut on the Main Board of the Stock Exchange of Hong Kong, presenting investors with a high-growth opportunity in the electric vehicle (EV) home charging solutions sector. With a robust digital-first IPO process, significant institutional backing, and clearly defined growth strategies, this listing stands out in the current market landscape.

IPO Snapshot

Key Offer Details and Structure

• IPO Symbol: 2650
• Offer Price Range: HK\$66.92 to HK\$83.63 per Offer Share
• Expected Final Offer Price (mid-point): HK\$75.27 per Offer Share
• Number of Shares Offered: 5,978,900 H Shares (10.00% of enlarged post-IPO share capital; up to 6,875,700 H Shares if Over-Allotment Option exercised)
• Post-IPO Outstanding Shares: 59,788,807 (assuming no Over-Allotment Option); 60,685,607 (if Over-Allotment fully exercised)
• Indicative Market Capitalization: Exceeds HK\$4 billion at the low-end of offer price; not to exceed HK\$6 billion at upper end [[35]], [[220]]
• Minimum Public Float: 25% (actual: 57.07% held by public post-IPO) [[220]]
• Application Window: Opens 9:00 a.m. September 30, 2025, closes 12:00 noon October 6, 2025
• Listing Date: Expected October 10, 2025 [[47]], [[5]]

Use of Proceeds: Growth-Driven Strategy

Concrete, Targeted Allocation of Proceeds

Shanghai Zhida is channeling the IPO funds toward aggressive expansion and technology enhancement, signaling a clear growth-driven story:

• Overseas Expansion: 38% (HK\$142.5 million) earmarked for international market entry and facility expansion ([[36]], [[451]])
• R&D and Product Development: 36.5% (HK\$136.9 million) for new product/service offerings, digital platform upgrades, and research capabilities ([[36]], [[451]])
• M&A Activities: 10% (HK\$37.5 million) to enhance energy management service capabilities ([[37]], [[451]])
• Factory Upgrades: 5.5% (HK\$20.6 million) for modernizing production facilities, particularly for new vehicle types and emerging scenarios ([[37]])
• General Corporate Purposes: 10% (HK\$37.5 million) including working capital ([[37]], [[451]])

Oversubscription Metrics

No specific oversubscription ratios or times subscribed are disclosed for retail or institutional tranches. Allocations are based solely on valid applications, with balloting where necessary ([[472]]).

Dividend Policy and Payout Commitments

As of March 31, 2025, Shanghai Zhida does not have any distributable reserves. Payment of dividends is subject to PRC law and the ability to receive dividends from subsidiaries ([[448]]). No explicit payout ratio or timetable is disclosed.

Placement and Issuance Breakdown

• Hong Kong Public Offering: 597,900 H Shares (initial, subject to reallocation)
• International Offering: 5,381,000 H Shares (initial, subject to reallocation and Over-Allotment Option)
• Over-Allotment Option (Greenshoe): Up to 896,800 H Shares, representing 15% of initial Offer Shares ([[468]], [[475]])
• Public Float: 57.07% post-IPO; at least 25% required by rules ([[220]])

Investor Participation and Book Quality

Pre-IPO Investors and Institutional Anchors

• Multiple series of Pre-IPO investments by institutional players including Anhui Zhongding, Jingzhou Zhida, Shanghai China Power Investment, Jintong Capital, BYD, among others ([[35]], [[202]]).
• Pre-IPO Investors contributed to R&D, expansion, and working capital; all special rights and redemption/divestment rights terminated prior to listing application ([[207]]).
• No specific data on pre-listing disposals or sales by early shareholders is disclosed.
• Book quality in terms of investor type (institutional/tranche allocations) is not explicitly quantified, but the presence of reputable Pre-IPO investors and full electronic application suggests strong institutional interest and an efficient allocation process.

Deal Parties and IPO Structure

Key Investment Banks and Sponsors

• Sole Sponsor: Shenwan Hongyuan Securities (H.K.) Limited
• Overall Coordinators: Shenwan Hongyuan Securities (H.K.) Limited, BOCOM International Securities Limited, China Industrial Securities International Capital Limited
• Joint Global Coordinators: Same as above
• Joint Bookrunners and Joint Lead Managers: Includes First Shanghai Securities Limited, Livermore Holdings Limited, Yellow River Securities Limited, SPDB International Capital Limited, West Bull Securities Limited, Yuen Meta (International) Securities Limited ([[457]], [[112]])
• Compliance Advisor: Shenwan Hongyuan Capital (H.K.) Limited ([[365]], [[644]])

Stabilization and Over-Allotment Option: Up to 896,800 H Shares (15% of initial offer), with a stabilizing manager able to maintain a long position during the 30-day stabilizing period ([[475]], [[476]]).

Listing-Day Performance Support: The syndicate’s composition and stabilization mechanism, as disclosed, point to robust support for first-day trading, with market-making activity possible within regulatory limits.

Company Overview

Business Model and Revenue Streams

• Sector: Electric Vehicle (EV) Home Charging Solution Industry
• Core Offerings: EV home charging equipment, energy management services, digital platform solutions ([[35]], [[220]])
• Customers: Automotive OEMs, EV owners, energy providers
• Geographies: China (core), expanding into Southeast Asia, Middle East, Europe, Americas (excluding U.S.) ([[451]])

Industry Definition and Size

• Company’s listing is based on exceeding HK\$500 million in annual revenue (2024) and market capitalization above HK\$4 billion ([[35]]).
• No sector size or ranking data is explicitly disclosed.

Financial Health and Performance

Multi-Period Key Financials

Financial Analysis: The company has a history of operating losses and cash outflows, with net current liabilities through the track record period. Gross margins have declined from 20.4% (2022) to 14.9% (2024), while gearing has escalated sharply due to increased debt or liabilities ([[443]], [[61]]).

Cash flow and interest coverage details are not explicitly provided, but the high gearing ratio signals elevated leverage and financial risk.

Market Position and Competitive Advantages

• Controlling Shareholders: Post-IPO, the controlling shareholder group retains 42.93% of voting rights (not exercising Over-Allotment Option) ([[35]]).
• Brand and Market Share: No explicit market share or ranking disclosed.
• Competitive Edge: Digital platform capabilities, R&D focus, and strategic Pre-IPO investor backing in green energy and automotive sectors ([[207]]).

Management Team and Governance

• Chairman & CEO: Dr. Huang
• Key Director: Ms. Liu (spouse of Dr. Huang, Controlling Shareholder) ([[47]], [[642]])
• Board Structure: Full director, supervisor, and senior management listing provided in prospectus ([[338]]).
• Corporate Governance: Commitment to Corporate Governance Code in Hong Kong Listing Rules ([[369]]).

Trends, Timing, and Market Environment

Sector and Economic Trends

• EV home charging sector is experiencing rapid growth, especially in China and international markets ([[451]]).
• Recent recovery from COVID-19 disruptions, with operations normalizing since January 2023 ([[35]]).
• Listing timed in a period marked by economic recovery and growing EV adoption.

Market Conditions: Directors view that COVID-19 did not cause any material adverse impact during the track record period, and sector recovery is underway ([[35]]).

IPO Timing: Application window September 30–October 6, 2025; expected listing October 10, 2025 ([[5]], [[47]]).

Recent Developments: Multiple rounds of Pre-IPO investments; further capital raising in December 2024 and March 2025 ([[626]]).

Conclusion on Favorability: The timing aligns with sector expansion and post-pandemic recovery, suggesting favorable conditions for the IPO.

Risk Factors

Key Risks Highlighted

• Operating Losses: RMB25.1m (2022), RMB58.1m (2023), RMB235.9m (2024), RMB17.1m (Q1 2025); risk to future profitability ([[61]]).
• High Gearing: Gearing ratio rose to 821.1% (2024) and 900.3% (Q1 2025), exposing the company to debt-related risks ([[443]]).
• Current Ratio Deterioration: Down from 139.5% (2022) to 88.8% (2024), indicating pressure on liquidity.
• Legal/Regulatory Risks: No material litigation, but compliance with PRC, Hong Kong, and international securities laws is required ([[644]]).
• Customer/Supplier Concentration: Not specifically quantified, but company cautions on customer/supplier relationship risks ([[59]]).
• Foreign Exchange/Market Risks: Exposure to interest, FX, and capital markets volatility ([[60]]).
• Related Party Transactions: Outstanding balances with related parties expected to be settled upon listing ([[443]]).
• Lock-up Risks: All existing shareholders subject to 12-month disposal restriction post-listing ([[207]], [[463]]).

Growth Strategy

• Overseas Expansion: Investment in Southeast Asia, Middle East, Europe, and Americas manufacturing facilities ([[451]]).
• R&D Upgrade: Significant allocation for product/service innovation and digital capabilities ([[36]], [[451]]).
• M&A Pipeline: 10% of proceeds targeted at acquisitions to strengthen energy management services ([[37]], [[451]]).
• Production Facility Upgrades: Capex directed at Xuancheng factory for new vehicle products ([[37]]).

Ownership and Lock-ups

• Pre-IPO Shareholding: 53,809,907 Unlisted Shares (pre-IPO); all converted one-for-one to H Shares at listing ([[375]]).
• Post-IPO Structure:
  • H Shares to be issued under Global Offering: 5,978,900 (10%) or 6,875,700 (11.33% if Over-Allotment exercised)
  • Controlling Shareholders: 42.93% (not exercising Over-Allotment Option)
  • Lock-up: 12 months for all pre-existing shareholders; 6 months for company and controlling shareholders as per Listing Rules ([[207]], [[463]], [[464]])

Valuation and Peer Comparison

No peer company symbols or valuation metrics (P/E, P/B, EV/EBITDA, etc.) are disclosed in the prospectus. No sector performance or comparable IPOs are listed.

Research & Opinions

No explicit analyst coverage, price targets, or research opinions are included in the prospectus.

IPO Allotment Result

Allocation and Results: Allotment results will be published at www.iporesults.com.hk and www.hkexnews.hk on October 9, 2025. Allocation may involve balloting; results are available for 24 hours starting 11:00 p.m. October 9, 2025 ([[490]]).

Listing Outlook

Prospectus-Based Outlook

• Book Quality: Presence of strong Pre-IPO investors and institutional allocations suggests robust demand.
• Sector Trends: Growth in EV home charging solutions and international expansion plans align with market momentum.
• Risks: The company’s history of losses and high gearing are notable concerns, but aggressive use of proceeds for expansion and R&D may catalyze a turnaround.
• First-Day Trading Range: Inferred from prospectus, strong demand and stabilization mechanisms may support trading at or above the offer price, barring adverse market developments.
• Subscription Worthiness: For growth-oriented investors comfortable with high risk and seeking sector exposure, the IPO appears attractive. Conservative investors may be cautious due to losses and leverage.

Prospectus Access

Prospectus and listing information are available at:

• www.hkexnews.hk
• www.shzhida.com

How to Apply

• Application Channels:
  • Online via White Form eIPO at www.eipo.com.hk
  • Through HKSCC EIPO channel (via broker or custodian who is an HKSCC Participant, using FINI system)
• Application Period: 9:00 a.m. September 30, 2025 to 12:00 noon October 6, 2025
• Eligibility:
  • 18 years or older
  • Hong Kong address (for White Form eIPO)
  • Non-U.S. person; outside the United States
• Results Announcement: October 9, 2025

Conclusion

Shanghai Zhida Technology’s IPO offers investors a compelling growth story centered on EV charging solutions, significant international expansion, and digital innovation. While financial risks are present due to recent losses and high gearing, the robust institutional support, clear use of proceeds, and favorable sector trends make this IPO a notable opportunity for investors seeking exposure to the rapidly evolving EV ecosystem.