IPO News | Tongya Technology Plans Hong Kong Stock IPO, China Securities Regulatory Commission Requests Additional Explanation on Pricing Basis for Successive Capital Increases and Equity Transfers

Zhitong Finance App learned that on September 4, the China Securities Regulatory Commission issued the “Requirements for Supplementary Materials for Overseas Issuance and Listing Filing (August 31, 2026 to September 4, 2026)”. The International Division of the China Securities Regulatory Commission issued supplementary material requirements for a total of 5 companies. Among them, Tongya Technology is required to further explain matters such as the issuer's previous capital increases and the basis for pricing equity transfers, and whether to actually pay the capital. According to the Hong Kong Stock Exchange's disclosure on June 9, Guangdong Tongya Technology Co., Ltd. (abbreviation: Tongya Technology) submitted a statement to the main board of the Hong Kong Stock Exchange, with Orient Securities International as its sole sponsor.

The China Securities Regulatory Commission requested Tongya Technology to further explain the following matters, and ask lawyers to check and issue clear legal opinions:

1. The issuer's basis for the pricing of the previous capital increases and equity transfers, whether the capital was actually paid, whether there were situations where funding obligations were not fulfilled, capital evasion, and defects in the funding method, and issued clear concluding opinions on whether the successive equity changes were legal and compliant.

2. Please list the names of the proxy holders in the company's historical history, the ratio of proxy shareholding, and the method of cancellation of proxy holding, and further explain in accordance with the relevant provisions of the “Guidelines for the Application of Regulatory Rules - Overseas Issuance and Listing Class No. 2” in accordance with the relevant provisions of the “Guidelines for the Application of Regulatory Rules - Overseas Issuance and Listing Class No. 2”, whether there are disputes or potential disputes, and whether the proxy holder is prohibited from holding shares under laws and regulations during the share brokerage period (including whether it violates anti-competition regulations), and in accordance with the above circumstances, in accordance with the “Guidelines for the Application of Regulatory Rules - Overseas Issuance and Listing Class No. 2” Securities and listings Article 8 of the “Administrative Trial Measures” stipulates whether there is a major ownership dispute over the shares held by the controlling shareholder.

3. Specific implementation of supervisory procedures such as overseas investment and foreign exchange registration involving the establishment of overseas subsidiaries, and issue concluding opinions on compliance.

4. Progress of state-owned shareholders' implementation of state-owned assets management procedures, such as the state-owned stock logo; the basis for determination by the state-owned shareholder logo management department.

5. Whether the participants in the employee equity incentive plan (including equity incentives granted to specific employees with shares released in 2020) are company employees, specific personnel composition and employment status, whether the participants have relationships with the issuer's other shareholders, directors, supervisors, and senior management, the basis for pricing, and make clear conclusions on whether the implemented equity incentive plans are legal and compliant and whether there are benefits.

6. Whether the shares held by the shareholders that the company plans to participate in “full circulation” have been pledged, frozen, or have other rights defects.

According to the prospectus, Tongya Technology is a supplier of high-performance precision metal connecting wires, mainly focusing on the R&D, production and sales of precision cable conductors. According to Frost & Sullivan's report, according to 2025 revenue, the company accounts for 15.5% of the global ultra-fine cable conductor market, ranking third in the world and number one in China.

During the track record period, the company's products were widely used in fields including smart terminals, precision medical equipment, low-altitude economy and robotics, computing power centers, new energy vehicles (“new energy vehicles”) and other equipment.

Tongya Technology's products mainly include precision cable conductors and precision metal wire ropes. During the track record period, the vast majority of its revenue came from sales of precision cable conductors. The company's products were widely used in fields including smart terminals, precision medical equipment, low-altitude economy, robots, computing power centers, new energy vehicles (“new energy vehicles”) and other equipment. The company began producing precision metal wire ropes in 2023, and is still in the production capacity climbing and product optimization stage of this business. The product line diameter range is generally between 0.008 mm to 0.5 mm, and is roughly divided into ultra-fine products (≤0.03 mm), fine products (>0.03 mm, <0.1 mm), and conventional products (≥0.1 mm).