The Issuance Examination and Approval Commission of China Securities Regulation Commission released an announcement on Sep. 7, saying Zhejiang Xiantong Rubber and Plastics Co., Ltd.’s application for initial public offering has been granted.
The company expects to get listed in Shanghai Securities Exchange with an initial issuance of no more than 22.56 million new shares.
The fund to be raised this time will be used for the capacity expansion of auto rubber seals with annual capacity of 23 million meters, cash flow, and construction of an R&D center of auto rubber seal strip.
Established in 1994, the company is a professional producer of auto sealing parts, decorating parts and rolling parts.
It also has a wholly-owned subsidiary, Zhejiang Xiantong Auto Parts Co., Ltd., which was established in 2011.
Xiantong Rubber and Plastics established long-term stable partnership with auto makers, including SAIC Motor, FAW, Chery, and Changan.
It is also a first supplier of SAIC-GM, SGMW, as well as a secondary supplier of Toyota, Honda, Nissan, Benz, and Hyundai KIA.
The company’s revenue from parts supplying for auto joint ventures totaled 245 million yuan in 2015, accounting for 57.79% of its total operating revenue.
