PANGAEA CONNECT (01473) Secures Sales Orders Valued Over US$280 Million, Positioning Group in Global Industry Leaders' Supply Chain

Stock News
Jan 20

PANGAEA CONNECT (01473) announced that the Group has recently entered into a series of sales contracts, securing orders with a total value exceeding US$280 million. These include significant orders from several globally leading optical module and Active Optical Cable (AOC) manufacturers, which are top suppliers of artificial intelligence and data center optical solutions worldwide. These global manufacturers are well-established market leaders within the industry, holding substantial market shares. Among them, the manufacturer contributing the largest portion of the orders under these sales contracts is a mainland China-based company, whose shares are constituents of several major indices, including the CSI 300 Index, the ChiNext Index, the Shenzhen Stock Exchange Composite Index, and the MSCI China Index. Securing these sales contracts represents a significant milestone for PANGAEA, highlighting its commitment to collaborating with pioneering companies that are shaping the future of data infrastructure. Through these contracts, PANGAEA will establish itself as a primary key supplier of optical transceiver products and solutions to these global manufacturers, including but not limited to transceivers for AI data centers and high-performance computing (HPC) applications—specifically 800G/1.6T transceivers—and Linear-drive Pluggable Optics (LPO) solutions. These components and solutions are critical for the computing, storage, and networking systems of major cloud operators and serve as the foundational technology required to meet the rapidly growing computational and bandwidth demands driven by the AI market. These global manufacturers are recognized as industry leaders in the development and supply of optical transceivers. They possess a comprehensive portfolio of high-speed optical solutions that serve global communication networks, with a particular focus on meeting the advanced needs of the world's top data center operators and cloud service providers for AI and data center applications. Furthermore, they also provide optical transceiver solutions for global enterprise data networks, metro and long-haul transmission, and mobile access network applications. As disclosed in the Company's interim report for the six months ended September 30, 2025, the Group is primarily engaged in the optical and wireless semiconductor business, with a strategic direction aligned with several high-growth technological megatrends spanning four key business segments: AI Data Centers; Wireless Networks & IoT; Green Energy; and Infrastructure. The AI Data Center segment is projected to be the Group's most outstanding performing business and primary growth engine for the current fiscal year, anticipated to achieve a robust overall year-on-year growth of approximately 20%, significantly outpacing the Group's overall growth trend. This exceptional growth momentum stems from the strong market adoption of 800G/1.6T transceivers and LPO solutions, which is being driven by the escalating demand for high-speed communication from leading global cloud and technology companies. This growth directly corresponds to the exponentially increasing demand for next-generation AI infrastructure. The Board of Directors believes that entering into these sales contracts will significantly strengthen the Group's position in the AI data center field and bring substantial long-term benefits to the Company and its shareholders. The sales contracts are expected to: firmly position the Group within the supply chains of global industry leaders, ensuring a high-growth primary revenue source; drive the Group towards realizing sustained, exceptional growth opportunities through 2027; expand the Group's market reach and share by engaging with the renowned global customer base of these top-tier manufacturers; enhance the Group's global brand recognition and strengthen its competitive advantages; and solidify the Group's role as a key enabler of the digital economy, thereby broadening the Group's future revenue base and enhancing returns for shareholders.

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