On September 3, the Hong Kong Stock Exchange website disclosed that Guangdong Jinsheng New Energy Co., Ltd. (hereinafter referred to as "Jinsheng New Energy") submitted a listing application to the main board of the Hong Kong Stock Exchange, with CICC and CMB International as joint sponsors.

Following the company's previous Shenzhen Stock Exchange listing guidance initiated in 2022 and the lapsed Hong Kong Stock Exchange listing application submitted on December 20, 2024, this marks the third attempt to pursue a public listing.

It has been noted that Jinsheng New Energy, which has made three consecutive listing attempts, has experienced continuous revenue decline in recent years, with cumulative net losses of 808 million yuan over three and a half years, and losses continue to expand.

**Cumulative Losses of 808 Million Yuan**

Jinsheng New Energy is a lithium battery recycling and regeneration solutions provider, offering a series of regeneration products mainly including lithium carbonate, nickel sulfate, and cobalt sulfate. The company's products are widely used downstream in mainstream lithium battery applications such as electric vehicles, energy storage systems, and consumer electronics, forming a comprehensive and vertically integrated business model with a complete industrial chain.

According to a report by consulting firm Frost & Sullivan, based on regeneration sales revenue in 2024, Jinsheng New Energy is the world's second-largest lithium battery recycling and regeneration enterprise, and also the world's largest third-party lithium battery recycling and regeneration enterprise.

During 2022-2024 and the first half of 2025 (hereinafter referred to as the "reporting period"), Jinsheng New Energy achieved revenues of approximately 2.905 billion yuan, 2.892 billion yuan, 2.157 billion yuan, and 937 million yuan respectively, showing continuous decline, with the first half of this year decreasing by 5.83% year-over-year. During the same period, net profits were approximately 151 million yuan, -471 million yuan, -344 million yuan, and -144 million yuan respectively, with cumulative losses of 808 million yuan, and losses in the first half of this year slightly expanding year-over-year.

In terms of revenue composition, Jinsheng New Energy's main revenue sources are "lithium regeneration products" and "nickel regeneration products," with revenue from these two business segments accounting for nearly 80% in recent periods.

Regarding this, Jinsheng New Energy stated that the company's outstanding revenue performance in 2022 was mainly due to rapid growth in downstream industries such as electric vehicles and energy storage, which led to surging demand and drove up both sales volume and average selling prices of the company's products. The company recorded gross losses and net losses in 2023 and 2024, respectively, mainly due to severe price fluctuations of major products, resulting in pricing mismatches caused by time differences between raw material procurement and product processing and sales completion, as well as significant inventory impairment losses in 2023 and 2024.

Additionally, since 2023, capacity increases from Jinsheng New Energy's new production lines and increased expenses due to business expansion have also contributed to gross losses and net losses.

During the reporting period, the company's R&D expenses were 98 million yuan, 100 million yuan, 77.1 million yuan, and 52.4 million yuan respectively, accounting for approximately 3.4%, 3.5%, 3.6%, and 5.6% of the company's revenue in each period.

**Third IPO Attempt**

Although the company has provided explanations for the year-over-year revenue decline, it's clear that 2022 performance represented a recent peak. In fact, when the company was at its peak in 2022, it initiated listing guidance with plans to list on the Shenzhen Stock Exchange, but due to declining performance and tightening A-share listing environment, it cancelled the listing guidance in August 2024.

Just four months later, on December 20, 2024, Jinsheng New Energy applied for a Hong Kong Stock Exchange listing.

In terms of financing, Jinsheng New Energy has completed five rounds of investment. Starting from the Series A financing completed in 2021 through the share subscription in May 2025, the company raised 130 million yuan, 300 million yuan, 610 million yuan, 321 million yuan, and 148 million yuan respectively, totaling 1.508 billion yuan in financing.

However, Jinsheng New Energy's "cash and cash equivalents" have declined from 211 million yuan at the end of 2022 to 37 million yuan at the end of the first half of 2025, a significant reduction. This indicates the company has certain urgency in financing needs.

The IPO fundraising proceeds from this offering are intended to be used for: paying partial expenses for the construction of a facility for processing retired lithium iron phosphate batteries at the company's production base in Ganzhou, Jiangxi Province; expanding upstream raw material resources; strengthening the company's R&D capabilities and attracting talent; and for working capital and general corporate purposes.

Jinsheng New Energy was co-founded by five Li brothers - Li Sen, Li Xin, Li Yao, Li Yan, and Li Wang. Currently, Li Sen serves as executive director, chairman, and general manager, Li Xin as executive director and vice chairman, and Li Yao as deputy general manager. Prior to the IPO, according to the acting-in-concert agreement, the Li brothers and Jiangxi Dongliang are entitled to control the exercise of approximately 47.87% of the company's total voting rights. Additionally, Li Sen is the general partner of Zhaoqing Shengda and Zhaoqing Senlong, controlling approximately 7.82% of the company's total voting rights held through Zhaoqing Shengda and Zhaoqing Senlong. The five Li brothers collectively control approximately 55.69% of the company's voting rights.