Accelerated listing of home companies

From April 18 to April 22, the China Securities Regulatory Commission (CSRC) released a number of IPO prospectuses for home appliance and furniture companies, including Sichuan Imperial Sanitary Ware and Jiangsu Yazhen Furniture. Industry insiders believe that this surge in home-related IPOs reflects a broader trend of modernization and industrial upgrading in the sector. The accelerated listing process is expected to bring more capital and strategic resources into the industry, helping companies scale up and improve their competitiveness.

Jiangsu Yazhen Furniture plans to list on the Shanghai Stock Exchange's main board, aiming to issue 5,474,900 shares with a total fundraising target of 602 million yuan. A significant portion of these funds will be allocated to expanding its marketing network, as well as funding projects related to sofa production and furniture development. Additionally, 57.99 million yuan will go toward modernizing its production lines, while 29.76 million yuan will support the construction of an information system. This move underscores the company’s ambition to enhance efficiency and market reach.

Sichuan Imperial Sanitary Ware, on the other hand, is set to list on the Shenzhen Stock Exchange’s SME board. It plans to issue no more than 21.6 million shares, with public offerings by shareholders limited to 10.7 million shares. The company’s controlling shareholders—Liu Jin, Chen Wei, and Wu Zhixiong—are also planning to transfer shares through the IPO, each within specified limits. The raised capital will primarily be used for expanding acrylic sanitary ware production capacity and enhancing its marketing infrastructure.

Zhu Changling, chairman of the China Furniture Association, highlighted that the recent concentration of home industry IPOs is a result of long-term industry development. He noted that these companies have evolved from small, fragmented enterprises into more structured and professional organizations. Many of them have also integrated smaller businesses or established brands, forming larger corporate groups that are better positioned to drive industry-wide innovation and transformation.

Yu Lei, a senior industry analyst, pointed out that the wave of IPO announcements signals a shift toward formalization and standardization in the home sector. Companies like Yazhen Furniture, known for its strong presence in the Shanghai market, are building solid foundations for long-term stability. Meanwhile, Qumei Furniture has taken a bold step by focusing on brand-building and innovation. According to Yu, the industry's branding efforts are showing promising results, and he remains optimistic about the future performance of these companies in terms of earnings and valuation.

According to sources, the recent IPO momentum is likely to accelerate the listing process for many home companies. As per the CSRC’s updated guidelines published on April 18, several firms, including Hongxing Meikailong Home Group, Op Lighting, Gujia Household, and Jiangsu Hengkang Home Technology, have entered the "accepted" stage. Others, such as Zhejiang Yongyi Furniture, Guangzhou Haolai Ke Creative Home, Hunan Love Home Textiles, and Three Tree Paints, are currently in the "feedback" phase, indicating active review and potential upcoming listings.