On August 26, YZHC Powder Metallurgy Materials Technology Company successfully IPO.
YZHC intends to raise 243 million yuan for the new 4,000-ton high-grade powder metallurgy parts project and the powder metallurgy new material application research and development center technological transformation project.
Compared with other process technologies, powder metallurgy technology has the advantages of material saving, energy saving, high accuracy, high consistency, complex structure, uniform composition, etc., and its application range is becoming wider and wider. At present, powder metallurgy products have been widely used in transportation, machinery, electronics, aerospace, new energy, nuclear industry and other fields, becoming one of the most dynamic branches of new materials science. With the gradual recovery of the global macro economy, the continuous development of industries such as automobiles, power tools, and home appliances has provided YZHC with a broader market space. From 2017 to 2019, YZHC's operating income was 145,137,700 yuan, 167,733,400 yuan, and 182,504,300 yuan respectively, with a compound annual growth rate of 12.14%, and operating performance achieved steady growth.
YZHC is mainly oriented to the mid-to-high-end market and actively participates in global competition. In the field of power tool powder metallurgy parts, it has entered the global top 500 enterprise supply system and successfully established with Stanley Black & Decker, Bosch Group, Innovation Technology Industry, Makita and other internationally renowned companies Long-term and stable business cooperation relationship.
At the same time, YZHC is actively exploring new business markets. It is understood that the company has developed and matched a series of powder metallurgy auto parts products for Jingxi Heavy Industry, Yibin Tiangong, Shanghai Tuoshen and other auto manufacturing supporting enterprises, and provided powder metallurgy parts for office equipment for Emerson.
At present, the automobile manufacturing industry is an important market for structural powder metallurgy components. About 70% of powder metallurgy components in developed countries and regions are used in the automotive industry. With the continuous development of China's automobile industry and the localization of auto parts, the market prospect of China's powder metallurgy products industry is very broad.
YZHC intends to use the raised funds of 181 million yuan to build a 4,000-ton high-grade powder metallurgy parts project, including 2,200 tons of automotive powder metallurgy parts and 1,800 tons of high-grade power tool powder metallurgy parts production capacity. The company said that the implementation of the project will help further consolidate and maintain the company's leading position in the power tool powder metallurgy industry, optimize product structure, and comprehensively enhance the company's overall competitiveness and risk resistance.