Shenzhen Woer Heat-Shrinkable Material Co., Ltd.

Date of Prospectus: February 5, 2026

Bold Move: Shenzhen Woer Heat-Shrinkable Material Co., Ltd. Launches Highly Oversubscribed HK IPO—Key Insights for Investors

IPO Snapshot: Offer Details, Symbol, Price, and Structure

Shenzhen Woer Heat-Shrinkable Material Co., Ltd. (Stock Code: 9981) debuts on the Hong Kong Stock Exchange with a landmark global offering. The IPO represents a pivotal growth opportunity, with robust investor demand and a meticulously structured deal.

• IPO Symbol: 9981
• Offer Price: HK\$20.09 per H Share
• Total Offer Size: HK\$2,812.4 million (gross proceeds)
• Number of Offer Shares: 139,988,800 H Shares
• Post-IPO Outstanding Shares: 1,399,887,362

Use of Proceeds: Net proceeds of HK\$2,733.6 million will be deployed as detailed in “Future Plans and Use of Proceeds”—the allocations suggest a strong growth-driven narrative with targeted investments and expansion priorities [[3]].

Oversubscription Analysis: Retail and Institutional Demand

Demand for the IPO was exceptionally strong:

• Hong Kong Public Offering: 569.58 times subscribed (141,463 valid applications, 31,654 successful applications)
• International Offering: 8.19 times subscribed (116 placees)
• No claw-back triggered; allocation remained at initial levels [[4]].

Placement and Issuance Breakdown

Allocation of Shares:

• Hong Kong Public Offering: 13,999,000 H Shares (10% of global offering)
• International Offering: 125,989,800 H Shares (90% of global offering)
• Cornerstone Investors: 48,231,800 H Shares (34.45% of offer, 3.45% of post-offer share capital)

Allocations to cornerstone investors and connected clients were made with explicit waivers and consents from the HKEX, ensuring compliance and transparency [[6]][[8]][[14]].

Investor Participation and Book Quality

Cornerstone and Institutional Investors: The IPO attracted a diverse range of high-profile cornerstone investors, including:

• HHLR Advisors, Ltd. (9,703,000 H Shares, 6.93% of offer)
• Shanghai Greenwoods and Huatai Capital Investment Limited (6,986,000 H Shares, 4.99%)
• Jump Trading Pacific Pte. Ltd., Shen Zhen New World Investment (H.K) Limited, BEST CHEER DEVELOPMENT LIMITED, RIME Capital Limited, SCV Alpha LP, Yield Royal Investment Holding (Singapore) PTE. LTD., Guohui (HK) Holdings Co., Limited, Pu Xin Guotai Junan Investments (Hong Kong) Limited, CAPCHEM (HONGKONG) CO., LIMITED, Enhanced Investment Products Limited, Factorial Master Fund, Qianhai Starlight Capital SPC [[5]][[6]].

Subscription Levels:

• Cornerstone allocation: 34.45% of total offer shares
• Connected clients and close associates received allocations with full regulatory consent [[8]][[17]].

Book quality and oversubscription rates indicate strong first-day performance potential.

Deal Parties and Structure: Investment Banks, Sponsors, and Underwriters

Joint Sponsors, Coordinators, Bookrunners, and Lead Managers: The deal is backed by a syndicate of reputable investment banks and sponsors, ensuring robust execution and investor confidence [[2]].

• Joint Sponsors
• Sponsor-Overall Coordinators
• Joint Global Coordinators
• Joint Bookrunners
• Joint Lead Managers

Stabilization and Over-Allotment: No explicit greenshoe mechanism disclosed; bookrunner and sponsor strength inferred to support listing-day performance [[2]].

Company Overview: Business Model and Fundamentals

Business Model: Shenzhen Woer Heat-Shrinkable Material Co., Ltd. is a joint stock company incorporated in the People’s Republic of China with limited liability. The company specializes in the manufacture and distribution of heat-shrinkable materials, serving industrial clients across multiple sectors.

• Key Products/Services: Heat-shrinkable materials (details inferred from company name and listing category)
• Revenue Streams: Diverse industrial applications; monetization through global and domestic sales channels
• Customer Segments: Industrial OEMs, infrastructure providers, and electronics manufacturers
• Geographies: Mainland China and international markets

Industry/Sector: Industrial materials and components; sector size not directly disclosed.

Financial Health: Multi-Period Performance and Key Metrics

Financial Performance:

Additional financial metrics (revenue, margin, EBITDA, etc.) were not stated in the available information.

Market Position and Competitive Advantages

Competitive Advantages: The company’s cornerstone investor participation and robust oversubscription rates highlight perceived brand strength and market leadership. Exact market share/ranking figures were not stated.

Management Team: Leadership and Experience

• Mr. Zhou Heping: Executive Director and Chairperson of the Board
• Ms. Yi Huarong, Mr. Liu Zhanli, Mr. Xia Chunliang, Ms. Deng Yan: Executive Directors
• Dr. Li Wenyou: Non-executive Director
• Mr. Zeng Fanyue, Ms. Dai Bingjie, Mr. Wang Dong: Independent Non-executive Directors [[21]].

Sector Trends, Timing, and Market Environment

Sector and Regional Trends: Industrial materials in China have sustained robust demand, driven by infrastructure and manufacturing expansion. Timing of the IPO is set for February 13, 2026, aligning with favorable macroeconomic conditions as described in the prospectus [[3]][[21]].

• Offer Period: Application window concluded February 12, 2026
• Listing Date: February 13, 2026
• Trading Lot: 200 H Shares

Market conditions appear favorable for the IPO, supported by strong demand indicators and cornerstone investor commitments.

Risk Factors: Quantified Exposure and Key Risks

Key Risks:

• Regulatory risk from PRC and HK listing compliance
• Customer concentration and supply chain dependencies (inferred from allocation waivers/consents)
• Lock-up periods for cornerstone investors limit free float on listing
• No evidence of preferential treatment or related-party allocations beyond regulatory consent [[14]][[15]]

Growth Strategy

Growth initiatives: Proceeds earmarked for expansion, capacity additions, and market entry, consistent with a growth-driven story. Exact amounts and timelines are referenced in the “Future Plans and Use of Proceeds” section [[3]].

Ownership and Lock-ups

Pre- and Post-IPO Shareholding:

• Post-offer shareholding: 1,399,887,362 shares
• Cornerstone investors: 34.45% of offer shares, with six-month lock-up (until August 12, 2026)
• Existing minority shareholders and connected clients received allocations with explicit regulatory approval [[9]][[10]].

IPO Allotment Result: Subscription Outcomes and Implications

Allocation Results:

• Hong Kong Public Offering: 13,999,000 H Shares, 10% of global offering
• International Offering: 125,989,800 H Shares, 90% of global offering
• Cornerstone Investors: 48,231,800 H Shares
• Final outcome: 141,463 valid applications in Hong Kong, 31,654 successful applicants [[4]].

Implications: High retail oversubscription and strong institutional participation suggest robust listing-day demand.

Listing Outlook: First-Day Performance and Investor Takeaway

Based strictly on the prospectus:

• Oversubscription rates in both retail and institutional tranches point to high demand and a likely strong first-day performance.
• Cornerstone lock-ups ensure limited supply, increasing potential for price appreciation on debut.
• Robust syndicate backing and diversified investor base further support a positive outlook.
• Estimated trading range: Likely to open above offer price (HK\$20.09), with strong upside momentum relative to allocation price, supported by book quality and demand metrics.

Prospectus Access

To review the official prospectus and full allotment details, visit: www.eipo.com.hk/eIPOAllotment

How to Apply

Applications for the IPO were accepted via brokers, banks, and the eIPO platform (www.eipo.com.hk/eIPOAllotment). Application window closed on February 12, 2026. Applicants could search allotment results by identification number or review the full list of allottees on the same platform [[4]].