Hong Kong stocks are set to welcome another industry giant.

Recent developments in the motor drive sector have brought significant news: A-share listed company Zhongshan Broad-Ocean Motor Co., Ltd. (002249) has officially submitted its prospectus, planning to list on the Hong Kong Stock Exchange, with Citibank and Huatai International serving as joint sponsors. If the process proceeds smoothly, this industrial "heart" that has been beating for over thirty years will undergo a magnificent transformation into a global motor industry leader through the Hong Kong IPO.

The products sold by Broad-Ocean Motor are actually not far from our daily lives. From air conditioners and washing machines at home, to speeding high-speed trains, roaring wind turbines, and even cutting-edge robotic systems... The smooth operation of all these devices relies on a quiet "heart" - the motor. Among every three air conditioners globally, one likely contains a "heart" from Broad-Ocean Motor.

In the micro motor industry, this "hidden champion," Broad-Ocean Motor has completed its transformation from a local small factory to a motor giant over thirty years. Its founder, Lu Chuping, was among the earliest young people from Hubei to venture south to Guangdong in pursuit of wealth dreams, and a self-made entrepreneur who emerged from impoverished rural areas. He was academically gifted from childhood, gaining admission to the prestigious South China University of Technology. Starting as an ordinary technician in a factory, he eventually established his own motor business, breaking the technological monopoly of foreign giants and filling industry gaps. He has further built a vast industrial empire in cutting-edge fields such as new energy vehicles, industrial automation, and robotics.

This is not merely an inspiring entrepreneurial story of a businessman, but a vivid epitome of Chinese manufacturing's growth from "follower" to "leader."

Over the years, Broad-Ocean Motor has maintained steady financial growth and holds a significant position in the global market. Now, Lu Chuping is leading Broad-Ocean Motor toward the Hong Kong stock market. Due to its strategic positioning in robotics and hydrogen energy sectors, the stock surged significantly upon the IPO announcement.

**I**

Broad-Ocean Motor originated from a Hubei rural youth's "motor dream."

Lu Chuping was born in October 1965 in a poor rural family in Xiaochang County, Xiaogan City, Hubei Province. Growing up in poverty, he deeply understood that "knowledge changes destiny." From childhood, he studied diligently and consistently ranked at the top of his class, serving as a model "striving youth and academic achiever" in the eyes of teachers and classmates.

Life has only a few crucial turning points; seizing them leads to success. In 1984, Lu Chuping gained admission to South China University of Technology's Industrial Electrical Automation program with excellent grades. In that era, this major was highly sought after, and he was one of the few prestigious university students from his hometown. Like today's rural youth seeking advancement, Lu Chuping embarked on his educational journey to Guangdong with his "motor dream."

In 1988, when Hainan was designated as a Special Economic Zone and nationwide entrepreneurship fever swept across the country, Guangdong became the dream destination for many ambitious young people. That year, Lu Chuping graduated from university and, influenced by this trend, decided to stay in Guangdong. In September, he joined Guangdong Zhongshan威力 Group's washing machine factory as an ordinary technician.

As the saying goes, circumstances create heroes, but Lu Chuping's story resembles more of a "grassroots" marathon. Lu Chuping was diligent and hardworking, quickly distinguishing himself at work and earning leadership recognition. He thrived at 威力 Group, advancing from an ordinary technician to deputy factory manager of the motor division within just a few years.

If he had been content with the status quo, today's motor giant would not exist. At that time, core micro motor technology was firmly monopolized by foreign giants like Mitsubishi, Panasonic, and Siemens. These foreign companies held absolute dominance in the domestic market, charging exorbitant prices and causing great distress to domestic appliance manufacturers dependent on micro motors.

This situation revealed enormous potential business opportunities to Lu Chuping, inspiring him to create China's own motors. He focused his entrepreneurial direction on the micro motor field.

Like most early entrepreneurs, Lu Chuping and his team members worked in cramped offices under harsh conditions. Working day and night, they overcame one technical challenge after another, securing multiple invention patents. They developed micro motor products with complete independent intellectual property rights, achieving performance levels matching international first-tier brands, successfully breaking foreign companies' technological blockade and filling the domestic industry gap.

Initially, through product refinement, Broad-Ocean Motor won favor from appliance giants like Midea and Gree, becoming the "singles champion" in the air conditioning motor field.

However, every market has its ceiling. When the appliance market gradually shifted from blue ocean to red ocean with slowing growth, Broad-Ocean Motor stood at a crossroads: remain comfortable as an "appliance king" or venture into new territories.

Lu Chuping chose the latter, and this transformation was nothing short of a "thrilling gamble."

The first gamble was entering the automotive field. Through acquisitions of Shanghai E-Drive and Prestolite, Broad-Ocean Motor obtained entry tickets to the vehicle "heart" sector. However, this territory was turbulent, with competitors including century-old global giants like Bosch and Nidec.

The second gamble was even bolder, betting on the future by fully focusing on new energy vehicles. When most people remained skeptical about electric vehicles, Broad-Ocean Motor had already placed its bet on this track representing the future. This time, it aimed to provide not traditional "hearts" but smarter, more efficient "new energy vehicle brains and muscle systems" - integrated drive systems combining motors and electronic controls.

It entered the supply chain systems of mainstream domestic new energy vehicle companies like BYD and XPeng, tightly binding its destiny with China's and the world's most sought-after industrial wave.

**II**

Two bold gambles determined the outcome. Lu Chuping indeed possessed foresight; whenever new technologies and trends showed great development potential, he dared to make strategic moves and enter early. This explains why, over the following thirty-plus years, Lu Chuping led Broad-Ocean Motor through various challenges, developing it into one of the leading enterprises globally in building and home appliance motors, vehicle rotating electrical equipment, new energy vehicle electric drive systems, and other industries.

The most forward-looking was the second gamble. When people generally held a wait-and-see attitude toward new energy vehicle prospects, Lu Chuping firmly entered the market, investing 3.5 billion yuan to acquire Shanghai E-Drive. This decision seemed quite risky at the time, as the new energy vehicle market was still immature, like freshly cultivated wasteland with uncertain harvests.

Lu Chuping's brilliance lay in not following trends but serving as a "leader." In this field, Broad-Ocean Motor gained first-mover advantage, pioneering the development of powertrain systems, the most core component of new energy vehicles.

To make this system excel, Broad-Ocean Motor invested heavily in technology. Their developed 800V high-voltage silicon carbide motor controller achieves energy conversion efficiency of up to 97.5%, a remarkably impressive figure in the industry. Like smartphone fast charging, higher voltage means faster charging speed; the same principle applies to new energy vehicles' 800V platforms. Broad-Ocean Motor leads the industry in this aspect.

Market position validates the success of this gamble. Currently, Broad-Ocean Motor has become China's first third-party independent electric drive supplier to support over one million pure electric vehicles. This "third-party independent" status is crucial, meaning they can cooperate equally with various automotive companies without being affected by binding to any specific manufacturer.

This gamble also established Broad-Ocean Motor's future industry influence. As cooperation networks continue expanding, Broad-Ocean Motor has become an independent supplier collaborating with different automotive companies, demonstrating its unique market position.

Today, Broad-Ocean Motor has constructed a clear "three-stage rocket" business system. The first stage is building and home appliance motor business, serving as the company's "ballast stone," contributing 59.54% of revenue in 2024. This business makes Broad-Ocean Motor rank second globally among HVAC electric drive solution suppliers, and first in China and North America.

The second stage is vehicle business, particularly new energy vehicle powertrain systems. Although currently accounting for only 11.84% of revenue, it shows very strong growth momentum and serves as the company's future "engine."

The third stage represents Broad-Ocean Motor's ambition. Lu Chuping has directed strategic vision toward a more distant future - humanoid robots and hydrogen fuel cells. Particularly for hydrogen fuel cell systems, although current revenue contribution is less than 1%, small-batch profitability has been achieved, with technology iterations leading the industry by 1-2 years.

It is precisely this visionary third-stage engine that has attracted capital market attention. Upon news release, stock prices surged. As the global hydrogen energy industry chain matures, this business that Broad-Ocean Motor has bet on may bring heavyweight growth to the company.

Industry data predicts that if fuel cell vehicle ownership reaches one million units by 2030, the BOP market size will exceed 30 billion yuan, indicating unlimited prospects for Broad-Ocean Motor.

**III**

With a powerful "heart," heading toward Hong Kong IPO.

Similar to Broad-Ocean Motor, recently, another motor industry giant - Wolong Electric Drive - is also actively applying for Hong Kong IPO, with both focusing on the vast opportunities in Hong Kong's stock market.

Wolong Electric Drive's development path resembles more of a "global integrating industrial titan." Through a series of major overseas acquisitions, such as successfully acquiring Austria's ATB Group and General Electric's industrial motor business in the United States, it rapidly gained superior technology, better brands, and broader channels, thereby obtaining larger global business and more stable, extensive customer bases.

Broad-Ocean Motor, on the other hand, is like an "excellent student focused on specific tracks." It first perfected its home appliance motor "fundamental base," then expanded into new energy vehicle tracks, and after accumulating sufficient confidence, boldly positioned itself in future industries like hydrogen energy and robotics.

Broad-Ocean Motor's story emphasizes more future imagination space, particularly its patent portfolio and technical reserves in humanoid robotics, giving the market great expectations. Meanwhile, its higher net profit and net profit margins demonstrate excellent profitability and cost control, which is also an important factor attracting investors.

Beyond expanding into new fields, Broad-Ocean Motor has also shown great aggression in overseas expansion strategy. As of June 2025, it operates 15 production bases globally, with 6 located overseas. In the first half of 2025, overseas revenue contribution rose to 48%. This "manufactured in China, supplied globally" model not only avoids trade risks but also brings it closer to end markets while enhancing Broad-Ocean Motor's profitability.

Standing on the global competition arena, Broad-Ocean Motor's opponents are undoubtedly formidable. On this stage, "veteran powerhouses" like Japan's Nidec and Germany's Bosch have been deeply cultivating global markets for years, possessing profound technological foundations and strong brand influence.

However, as a rising star on new tracks, Broad-Ocean Motor also possesses unique advantages. First, backed by China's most complete global industrial system, Broad-Ocean Motor enjoys significant manufacturing efficiency and cost advantages, with abundant supply chain resources. Second, in the Chinese market, Broad-Ocean Motor has accumulated the world's largest and most dynamic customer base, enabling rapid response to customer needs and providing customized solutions. Additionally, through high-intensity R&D investment and strategic acquisitions, Broad-Ocean Motor's core technological capabilities have rapidly improved, gradually narrowing the gap with industry leaders.

Of course, Broad-Ocean Motor also faces numerous challenges. For example, in premium brand sectors, its brand influence still has some gap compared to international top giants. Meanwhile, in cutting-edge basic theoretical research and new material applications, continuous deep cultivation and constant breakthroughs are still needed.

Therefore, Broad-Ocean Motor's market position can be clearly defined as: a leader in the Chinese market and a strong challenger and pursuer in the global market. This competition is destined to be an exciting collision between "Chinese speed" and "international depth."

For this Hong Kong IPO, Broad-Ocean Motor's objectives are clear and firm: to add supplies and inject "new fuel" into this industrial giant. Fundraising will mainly be used for advanced technology R&D innovation, large-scale capacity expansion, and optimization of global sales networks, preparing sufficient "ammunition" for future fierce competition.

Meanwhile, through Hong Kong IPO entry into international capital markets, Broad-Ocean Motor will significantly enhance the company's global brand image and visibility, attract top international talent, and operate according to international corporate governance standards, establishing clearer and more precise strategic roadmaps for participating in global competition and cooperation.

Broad-Ocean Motor's Hong Kong IPO undoubtedly sends a clear signal: a group of Chinese "hidden champions" represented by Broad-Ocean Motor, focusing on core component innovation, are steadily moving toward the center of the world stage, playing increasingly important roles in the global industrial landscape.