CR New Energy's RMB 24.5 Billion IPO Sets New Fundraising Record on Shenzhen Stock Exchange
Claire Weston
CR Power New Energy (华润新能源) opens subscriptions on June 22 with a ¥24.5 billion IPO — the largest ever on the Shenzhen Stock Exchange — yet its own prospectus flags a net-profit decline of up to 30%, casting a shadow over the mega-deal.
How big is ¥24.5 billion?
The offering raises ¥24.5 billion, surpassing Yihai Kerry Arawana's (~¥13.9B) 2020 listing to become Shenzhen's largest IPO on record.
Shares are priced at ¥10.11, with 2.107 billion shares offered — roughly 16.20% of post-IPO equity.
This means → a state-owned renewables platform is using the public market for a capital expansion of a scale rarely seen in recent listings.
What about the greenshoe and the subscription threshold?
CICC holds a greenshoe option of up to 15% of the initial offering (up to 316 million shares); full exercise would raise total shares to 2.423 billion, or about 18.19% of equity.
The online subscription cap is 632,000 shares, requiring a Shenzhen-market portfolio of ¥6.32 million — the highest threshold among mainboard IPOs since early 2025.
In plain terms = the "entry ticket" is steep; most retail investors cannot subscribe at the cap, so participation depth hinges directly on capital size.
What kind of allotment odds can investors expect?
A comparable recent mega-issue, Huadian New Energy (华电新能), saw a 0.56% allotment rate — far above the market average of roughly 0.04%.
CR Power New Energy's issue size is similar, so a relatively high allotment rate is expected.
This means → the "large-cap allotment dividend" is still in play — the bigger the issue, the better the odds compared with small-cap IPOs.
Where does the money go?
CR Power New Energy is China Resources' core platform for wind and solar power investment and operation.
Installed grid-connected capacity stands at 41.59 GW: wind 27.63 GW, solar 13.96 GW.
All proceeds go to wind and solar project construction — no working-capital top-ups, no debt repayment, purely capacity buildout.
Why is net profit heading down?
The prospectus guides 1H 2026 revenue at ¥12.35B–¥13.55B, a year-on-year change of −5.10% to +4.12%.
Net profit attributable to the parent is guided at ¥3.3B–¥3.8B, a year-on-year decline of −29.81% to −19.18%.
This reflects the pressure renewables operators face from electricity-price and subsidy cycles — revenue roughly flat, but the profit line is visibly contracting, making this the key variable for post-listing valuation sentiment.
What else is on offer the same week?
The Beijing Stock Exchange lists Yikun Electric (益坤电气) the same week — a "little giant" specialist in lightning arresters, insulators, and fuses for rail transit and power grids.
Guided 1H 2026 net profit is ¥26.8M–¥29.5M, up 0%–10.12% year on year.
In plain terms = a completely different weight class from CR Power New Energy, but a small-cap growth option for investors shopping the same subscription window.
Content is for reference only, not financial advice.