FORTIOR (01304) plans to globally issue 16,299,500 H shares, expected to be listed on July 9th.

FORTIOR (01304) will offer 16.2995 million H shares globally from June 30 to July 4, 2025, with 10% allocated for sale in Hong Kong and 90% for international sale. The offering price will not exceed HK$120.50 per share. Each board lot will consist of 100 H shares, and trading is expected to begin on July 9, 2025, at 9:00 a.m. on the Stock Exchange of Hong Kong. The group is a chip design company focused on the design and development of BLDC motor drive control chips, establishing a strong market position in the industry. BLDC motors are brushless motors that use electronic commutation to change the magnetic field and rotate the motor rotor. According to Frost & Sullivan, BLDC motors have advantages such as high efficiency, low power consumption, high control accuracy, and low noise compared to traditional motors, and are widely used in various applications. The group's products aim to maximize the performance advantages of BLDC motors, achieving high efficiency, low noise, and high precision operation. According to Frost & Sullivan, the group's product portfolio covers all core components of typical motor drive control systems, including (i) motor control chips such as MCUs and ASICs; (ii) motor drive chips such as HVIC; (iii) intelligent power module IPM; and (iv) power devices such as MOSFETs. According to Frost & Sullivan, the group is the first chip design company in China to focus on the design of BLDC motor drive control chips. As of December 31, 2023, the group's market share in China's BLDC motor control and drive chip market reached 4.8% (by revenue), ranking sixth, and the group is the only Chinese company among the top ten companies in this market. In the past performance period, the group achieved good financial performance in terms of revenue and profit. The group's revenue increased from RMB 323 million in 2022 to RMB 411 million in 2023, further increasing to RMB 600 million in 2024, a 27.4% and 45.9% growth respectively. The group's gross profit increased from RMB 185 million in 2022 to RMB 219 million in 2023, and further increased to RMB 316 million in 2024, representing an 18.1% and 44.5% increase respectively. According to Frost & Sullivan, the group achieved a gross profit margin of 52.6% in 2024, higher than the average gross profit margin level in the Chinese market. In 2024, the group achieved a net profit margin of 37.0%. Assuming the offering price is HK$120.50 per share (the maximum offering price as stated in this prospectus), after deducting the underwriting commission and other estimated expenses already paid and payable for the global offering, and assuming the exercise of the over-allotment option and the additional share allocation option is not exercised, the group estimates that it will receive net proceeds of approximately HK$1.846 billion from the global offering. According to the group's strategic plans, it intends to use the net proceeds from the global offering as follows: approximately 34% for enhancing the group's research and innovation capabilities; approximately 10% for further enriching the group's product portfolio and expanding downstream applications; approximately 16% for expanding the group's overseas sales network and promoting the group's products in overseas markets; approximately 30% for strategic investments and/or acquisitions to achieve the group's long-term growth strategy; and approximately 10% for working capital and general corporate purposes. The group has entered into cornerstone investment agreements with cornerstone investors such as Taikang Life, BOC International, and 3WFund, under which the cornerstone investors have agreed, subject to certain conditions, to subscribe at the offering price or cause their designated entities to subscribe for a certain number of sale shares (adjusted downward to the nearest whole trading unit of 100 H shares) with a total amount of USD 112 million.