Lingyi iTECH Files for Hong Kong IPO: A Reverse-Takeover AI Hardware Giant Surges 69% This Year, With YTD Profit Already Exceeding 2024
On November 20, Guangdong Lingyi iTECH (stock code 002600) submitted its listing application to the Hong Kong Stock Exchange, with Cathay Haitong as the sole sponsor.
The company—listed via a reverse takeover—has seen its market value surge 69.45% in 2025, and its profit for the first three quarters already surpasses that of 2024.
Reverse Takeover Background
Lingyi iTECH traces its roots back to Lingsheng Electronics.
Chairman Zeng Fangqin became its controlling shareholder in 2011 and later founded Lingyi Technology in 2012.
In February 2018, Lingyi iTECH went public through a reverse acquisition of Jiangfen Magnetic Materials on the Shenzhen Stock Exchange. As of November 10, 2025, Zeng controls 58.64% of the company’s total share capital.
Market Performance
- Jiangfen Magnetic listed in 2011 with a 149% first-day gain, valued at 6.34 billion RMB.
- Lingyi iTECH’s valuation reached around 48 billion RMB after the RTO.
- Peaked at over 101 billion RMB in 2020.
- Fell to 56.065 billion in late 2024.
- Rebounded strongly to 95 billion RMB in 2025, up nearly 70% YTD.
A Global Leader in AI Hardware Manufacturing
Lingyi iTECH operates a full-stack AI hardware manufacturing platform covering:
- Core materials
- Precision components
- Modules
- High-end assembly
Applications span AI devices, robotics, enterprise servers, automotive electronics, and low-altitude industries.
According to Frost & Sullivan (2024 revenue basis):
- #1 globally in precision components for AI devices
- #3 globally in AI device intelligent manufacturing platforms
- Listed on the Fortune China 500 for eight consecutive years
Financials: Growing Profit, AI Hardware Dominates Revenue
Revenue & profit (RMB billions):
2022: 34.503 | 1.56
2023: 34.154 | 2.014
2024: 44.26 | 1.761
2025 Q1–Q3: 37.59 | 1.966
2025 already exceeds 2024 full-year profit.
AI hardware contributed 92.1% of 2024 revenue (40.78 billion RMB, +32.8% YoY).
Overseas revenue share increased from 37.9% → 47.3%, indicating stronger global expansion.
Margin Pressure
Gross margin fell from 19.8% (2022) to 14.4% (2024), mainly due to:
- Higher raw material prices
- Increased industry competition
- Product mix changes
Use of Proceeds
H-share fundraising will support:
- R&D investment
- Capacity expansion
- Strategic acquisitions
- Global facility construction
- Working capital
The goal is to strengthen its global leadership in AI hardware manufacturing.
