Accelerated listing of home companies

From April 18 to April 22, the China Securities Regulatory Commission (CSRC) released several initial public offering (IPO) prospectuses for household appliance companies, including Sichuan Imperial Sanitary Ware and Jiangsu Yazhen Furniture. Industry insiders suggest that this accelerated IPO process is expected to drive innovation and modernization across the entire home industry, helping companies scale up and improve their operational efficiency.

Raising Funds for Expansion

Jiangsu Yazhen Furniture's prospectus reveals plans to list on the main board of the Shanghai Stock Exchange, issuing 5,474,900 shares in total. The company aims to raise 602 million yuan, with 416 million yuan allocated for expanding its marketing network, 98.36 million yuan for sofa and furniture expansion projects, 57.99 million yuan for upgrading its production lines, and 29.76 million yuan for information system development. Meanwhile, Sichuan Imperial Sanitary Ware is planning to list on the Shenzhen Stock Exchange’s SME board, with a maximum issuance of 21.6 million shares. A portion of the funds will be used for increasing acrylic sanitary ware production capacity and strengthening its sales network.

Accelerated IPOs Signal Industry Growth

This wave of IPO applications marks a significant shift in the home industry. According to Zhu Changling, chairman of the China Furniture Association, the concentration of home-related companies going public reflects years of accumulated growth and development. He emphasized that these firms have evolved from small, scattered enterprises into well-structured, modern businesses. Many of them have also integrated smaller brands or merged with other companies to form larger groups, which is expected to boost the industry’s overall competitiveness and transformation.

Industry Experts Share Optimism

Yu Lei, a senior industry analyst, noted that the recent surge in IPO announcements signals a move toward formalization and standardization in the home sector. Companies like Yazhen Furniture, known for its strong presence in the Shanghai market, are demonstrating solid growth and stability. Another example is Qumei Furniture, which has taken bold steps in brand building. Yu expressed confidence in the future performance of these companies, particularly regarding their price-to-earnings ratios and profit margins.

More Companies Moving Toward Public Listing

According to industry sources, the current IPO pipeline is encouraging many home companies to accelerate their listing processes. As per the CSRC’s latest update 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 progress in their IPO journeys.