Recently, information disclosed by the Shenzhen Stock Exchange shows that the main board IPO prospectus (application draft) of Wanli Tire Co., Ltd., an established domestic tire company, has been officially disclosed, the listing application has been accepted, and the company has officially entered the IPO review stage.
The total amount of funds planned to be raised in this listing reaches 2 billion yuan.
As someone who has been deeply involved in the tire industry for more than thirty years
A leading domestic brand, Wanli Tire specializes in a full range of radial tire products. Its multi-brand matrix covers the two core markets of passenger cars and commercial vehicles. The current annual production capacity has reached 39.2 million units, and its products have been sold to more than 150 countries and regions around the world. It has high user recognition in both the supporting market and the replacement market.
The funds raised this time will be divided into four major directions to implement five major physical projects, comprehensively filling the company’s shortcomings in production capacity gaps, technology research and development, global layout, etc., and laying a solid foundation for the company’s next stage of global expansion.
From the perspective of fund-raising investment, globalization is the core focus of this investment, with a total investment amount of 1.11 billion yuan: 930 million yuan will be used to build a Malaysian green tire base. The project will rely on Malaysia’s rich local natural rubber resources to reduce production costs, while avoiding the multi-national targeting of China.
Anti-dumping trade barriers for domestic tire products. After the base is put into operation, it will focus on the European and American high-end tire markets, further increasing the share of domestic brands in the high-end market; the remaining 180 million yuan will be used to expand the existing factory in Cambodia. After the project is completed, it will release tens of millions of overseas production capacity and further consolidate the company’s dominant position in the ASEAN market.
On the domestic side, it plans to invest 180 million yuan to expand the Conghua production base and add 6 million high-end semi-steel tire intelligent production lines to further strengthen its supporting supply capabilities to domestic mainstream car companies and increase the proportion of high-end products in the local market.
In addition to the production capacity layout, the R&D sector will also receive 3.
The capital investment of 100 million yuan will be mainly used to upgrade the company’s R&D center, build a special laboratory for new energy tires and new materials, purchase a full set of internationally leading tire performance testing equipment, focus on low rolling resistance, lightweight and other high-end tire core technologies, further enhance the company’s core independent research and development capabilities, and adapt to the rapidly developing market demand for global new energy vehicles.
The remaining 400 million yuan will be used to supplement the company’s working capital, hedge against operating pressure caused by price fluctuations of raw materials such as natural rubber, and ensure stable cash flow for the operation of domestic and overseas production bases and channel expansion.
At present, the global tire industry has a clear development trend of high-end and globalization, and against the background of continued intensification of international trade frictions, Wanli Tire has dispersed export risks through domestic and overseas dual-base layout, and synchronized the development path of increasing technology research and development and local production capacity expansion, providing a reference sample for domestic tire brands to go overseas.
This successful entry into the capital market will help the company further improve the global supply chain system, narrow the gap with leading international listed tire companies, continue to enhance the international market competitiveness of domestic tires, and will also drive the transformation and upgrading of the entire domestic tire industry.
