A storied state-owned enterprise from Henan province, Luoyang Bearing Group Co.,Ltd. (301699), marked its official listing on the ChiNext board of the Shenzhen Stock Exchange on September 9th, experiencing a spectacular first-day trading surge.

The company's shares opened at 30 yuan per share, an impressive 88.92% premium over its initial public offering price of 15.88 yuan. By the close of trading, the rally had intensified, with shares settling at 31.99 yuan, representing a gain of 101.45% and lifting the company's total market capitalization to 23.2 billion yuan.

The IPO involved the sale of 124 million shares at 15.88 yuan each, successfully raising a total of 1.969 billion yuan. These funds are earmarked for several strategic initiatives, including the development and application of high-speed train bogie bearings, the intelligent production of bearings for new energy sectors, and the industrialization of high-end slewing bearings. A key focus is accelerating the commercial application of its research and development in areas like high-speed rail and robotics.

With roots tracing back to the Luoyang Bearing Factory established in 1954, this company was a cornerstone project among China's first Five-Year Plan's 156 key national endeavors. After more than seven decades of evolution, it has grown into one of the largest comprehensive bearing manufacturers in the domestic industry. Its controlling shareholder is Luoyang Guohong Investment Holding Group, which holds a 31.49% stake, with the Luoyang Municipal SASAC serving as the ultimate controller. The company is also home to the industry's sole national key laboratory for bearings, positioning it at the forefront of high-end bearing research and development in China.

According to its prospectus, Luoyang Bearing Group Co.,Ltd. recorded revenues of 4.441 billion yuan, 4.675 billion yuan, and 6.034 billion yuan for the years 2023 through 2025. Net profit attributable to shareholders for the same periods was 231 million yuan, 251 million yuan, and 529 million yuan, respectively. Revenue is primarily generated from finished bearings, with income from heavy-duty equipment bearings, mainly used in wind power, climbing from 1.835 billion yuan to 2.839 billion yuan during this timeframe.

The company's product portfolio spans nine major categories and over 30,000 specifications, serving diverse fields such as wind power, rail transit, aerospace, new energy vehicles, and tunnel boring machines. As a leading comprehensive bearing manufacturer, it holds a top-three domestic market share in the wind power, aerospace and military, and rail transit and new energy vehicle bearing sectors. Its wind power business is particularly strong, with its main shaft bearings, yaw and pitch bearings, and gearbox bearings ranking first, second, and third in the industry, respectively.

Amid a clear trend towards larger wind turbines and the accelerating adoption of 6MW-plus models, demand for high-power wind power bearings is on the rise, hastening the domestic substitution of high-end products. Starting with the country's first domestically produced 10MW wind power main shaft bearing, the company has achieved mass production of 16MW units and now possesses the capability for large-scale supply of megawatt-class wind power bearings.

However, the company's debt-to-asset ratio has remained persistently high, standing at 82.19%, 79.43%, and 79.57% for 2023, 2024, and 2025, respectively. A portion of the 1.969 billion yuan raised in this IPO has been allocated to repay bank loans. Moving into 2026, its high-growth momentum has moderated. In the first half of the year, Luoyang Bearing Group Co.,Ltd. posted revenue of 3.061 billion yuan, an 8.52% year-on-year increase, while its non-recurring deductive net profit rose 6.25% to 268 million yuan. For the first three quarters of 2026, the company projects revenue growth of 5.52% to 11.08% and net profit growth of 7.47% to 12.25% year-on-year.

At the listing ceremony, Chairman and Party Secretary Wang Xinying outlined a vision to accelerate five key transformations related to product structure, development models, digital intelligence, talent, and internationalization, with an ambition to rank among the world's top bearing companies by 2030.