New stock news | Kunlun New Energy Materials submits application to Hong Kong Stock Exchange, ranking third in terms of shipment volume among global electrolyte suppliers.

According to the disclosure on January 28 by the Hong Kong Stock Exchange, Kunlun New Energy Material Technology (Yichang) Co., Ltd. (referred to as Kunlun New Energy Materials) has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with China Securities Co., Ltd. International and Ping An Securities (Hong Kong) acting as its joint sponsors. Company Profile The company is a leading global supplier of lithium battery electrolytes, focusing on research, development, production, and sales of lithium battery electrolytes and advanced battery materials. Leveraging its technological advantages and strategic production capacity, the company provides stable, safe, efficient, and advanced products for the global new energy industry. The company has become a rapidly growing electrolyte technology enterprise in China, with its market share steadily increasing in recent years. According to Frost & Sullivan data, based on shipment volume, the company ranked third among global electrolyte suppliers for the nine months ended September 30, 2025. In addition, the company has strategically positioned itself in advanced battery materials such as Solid State Electrolyte (SSE), Gel Electrolytes, Solid-Liquid Mixed Electrolytes, and Sodium-ion Electrolytes. The company is committed to establishing long-term strategic partnerships with leading global new energy innovation and technology companies. By participating in the early-stage R&D of customer battery products, expanding production capacity around customer demands, and maintaining close cooperation with downstream customers, the company has industry-leading vertical supply chain management capabilities. Through equity investments and in-house production capacity, the company secures the supply of key raw materials from the source while achieving cost-effectiveness. The company has developed a comprehensive product portfolio covering electrolytes for power batteries, energy storage system batteries, consumer electronic batteries, and emerging applications. In the field of advanced battery materials such as SSE and Sodium-ion electrolytes, the company actively pursues technological innovation and has independently developed multiple technologies. For example, the company has the capability to produce advanced solid-liquid mixed electrolyte products (such as oxide electrolytes). The ionic conductivity of the company's self-developed sulfide SSE has reached 12mS/cm, close to the ionic conductivity of liquid electrolytes. Additionally, the company's flame-retardant gel electrolytes have addressed battery safety and electrolyte leakage issues, increasing the battery's heat resistance to 145C. The company has established strategically located production bases, forming a significant production capacity scale. Large production bases established in Huzhou, Zhejiang, Yibin, Sichuan, and Jining, Shandong, serve as hubs for the new energy power battery industry aggregation zone, providing the company with significant geographical advantages. As of the last practicable date (January 18, 2026), the company's total electrolyte production capacity is 180,000 tons per year. To consolidate this competitive advantage and meet the changing market demand, the company plans to establish new electrolyte production bases or expand capacity in Yichang, Jining, Huzhou, Yibin, and Szolnok, Hungary. Upon completion, the total electrolyte production capacity will exceed 500,000 tons per year. With extensive production experience, the company has developed advanced production processes, excellent quality control, differentiated customization capabilities, and diversified formulations. The company has obtained ISO 9001, ISO 14001, ISO 27001, ISO 45001, and IATF 16949 system certifications. The company has advantages in the quality of lithium battery electrolytes and precision control of production processes, achieving a pass rate of 99.95% for the nine months ended September 30, 2025. In 2024, the company also achieved zero DPPM performance in the supply of products to a leading innovative new energy technology company globally, and in 2025, the company was honored as the only electrolyte supplier to receive the company's Sustainable Development Award. The company has built an automated production platform utilizing manufacturing execution systems, distributed control systems, portable data assistants, and has developed and introduced innovative electrolyte processes. Financial Information Revenue For the nine months ended September 30 in 2023, 2024, and 2025, the company's revenue was approximately RMB 1.577 billion, RMB 1.021 billion, and RMB 1.032 billion, respectively. Profit For the nine months ended September 30 in 2023, 2024, and 2025, the company's profit for the year/period was RMB 86.168 million, -RMB 27.609 million, and -RMB 0.136 million, respectively. Gross Margin For the nine months ended September 30 in 2023, 2024, and 2025, the company's gross margin was 11%, 4.4%, and 5.7%, respectively. Industry Overview The global lithium battery industry maintains high-speed growth and has become an important support for global energy transformation and new industrial systems. The global lithium battery shipment volume increased from 323.2GWh in 2020 to 1,549.6GWh in 2024, with a compound annual growth rate of 48.0%; by 2030, the global shipment volume is expected to exceed 5,200GWh, with a compound annual growth rate of 22.5% from 2024. China remains the largest market globally, with the shipment volume increasing from 142.5GWh in 2020 to 1,173.0GWh in 2024, a compound annual growth rate of 69.4%; it is expected to exceed 3,900GWh by 2030, maintaining a compound annual growth rate of 22.5% from 2024. In the global regional structure change, driven by the continuous increase in the penetration rate of new energy vehicles and rapid development of energy storage systems, the proportion of lithium battery shipments in Europe is expected to increase from 9.8% in 2024 to 12.5% in 2030, with a compound annual growth rate of 27.6%. To meet the growth in localization demand, major battery manufacturers are accelerating the construction of production capacities in overseas regions such as Europe, driving upstream raw materials, electrolytes, and other core links to accelerate internationalization and industrial chain localization, transitioning the global lithium supply system from centralization to regional collaboration. At the same time, lithium batteries are accelerating their expansion into emerging application areas, including Siasun Robot & Automation, low-altitude economic applications, and other new scenarios. It is expected that by 2030, the global lithium battery shipment volume in these emerging application areas will exceed 200GWh, with a compound annual growth rate exceeding 30% from 2024, becoming a new engine for the incremental growth of the lithium battery industry. The electrolyte market size is highly correlated with the development of the lithium battery industry, exhibiting cyclical characteristics influenced by demand changes, capacity expansion, and inventory adjustment rhythms. From 2021 to 2022, driven mainly by the sharp increase in global demand for new energy vehicles and limited effective production capacity upstream, the average price of Lithium Hexafluorophosphate spiked. With the gradual commissioning of new upstream production capacity and stabilization of the supply chain, the average price of Lithium Hexafluorophosphate decreased from 12.83 Yuan/ton in 2023 to 6.25 Yuan/ton in 2024, while the demand for electrolyte products continued to grow steadily, driving global electrolyte shipments up by 35.7% from 2023 to 2024. Since 2025, with the recovery of downstream applications such as new energy vehicles and energy storage systems, as well as the continuous expansion of emerging application fields and the optimization and development of industry capacity, the electrolyte market's shipment volume is expected to increase by 44.3%. In 2020, the global electrolyte shipment volume was approximately 342,000 tons, growing to around 1,509,000 tons by 2024, with a compound annual growth rate of 44.9% from 2020 to 2024. It is projected that with the continuous penetration of new energy vehicles globally, the accelerated development of energy storage systems, the iteration of consumer electronics towards high efficiency and integration, and the rapid expansion of emerging application fields such as Siasun Robot & Automation, low-altitude economic applications, the shipment volume is expected to reach 5.597 million tons by 2030, with a compound annual growth rate of 24.4% from 2024 to 2030. Board of Directors Information The board of directors is responsible for the overall management and operation of the company's business. The board currently consists of nine directors, including three executive directors, three non-executive directors, and three independent non-executive directors. Shareholding Structure Tianjin Kunyu, Tianjin Tongde, and Tianjin Kunyuan are three limited partnership enterprises established in China, all controlled by Mr. Guo (as their respective general partners). Therefore, under the Securities and Futures Regulations, Mr. Guo is considered to have equity in the shares held by Tianjin Tongde, Tianjin Kunyuan, and Tianjin Kunyu. Thus, Mr. Guo, Tianjin Kunyu, Tianjin Tongde, and Tianjin Kunyuan constitute a single largest shareholder group. Intermediary Team Joint Sponsors: China Securities Co., Ltd. (International) Financing Co., Ltd., Ping An Insurance Capital (Hong Kong) Co., Ltd.; Legal Advisors: Morgan Lewis law firm, King & Wood Mallesons law firm; Joint sponsors and legal advisors: Tianyuan Law Firm (Limited liability partnership), Zhong Lun Law Firm; Auditors and Reporting Accountants: Ernst & Young Accountants; Independent Industry Consultant: Frost & Sullivan (Beijing) Consulting Co., Ltd. Shanghai Branch; Compliance Advisor: Howde Finance Co., Ltd.