China's positioning chip provider applies for an Hong Kong IPO

BYD (1211)-backed spatial positioning chips and services provider Allystar Technology (Shenzhen) has applied for an initial public offering in Hong Kong, supported by dozens of China's state-owned funds.

In 2016, Allystar was jointly established by the state-owned CEC Optics Valley (Shenzhen) and the Shanghai SAIC Venture Capital. SAIC Motor Corporation, BYD, Jiangling Motors Group, Bosch (Shanghai) Venture Capital, Zhuhai Gree Venture Capital, TCL Technology and AVIC Industry made strategic investments in the early and mid-stages.

The proceeds will be used to continuously enhance research and development capabilities and increase product and solution offerings.

The firm also plans to establish joint ventures with partners, to make strategic investments or acquisitions in technology solution companies and semiconductor companies, and to expand the sales network of Global Navigation Satellite System-related products and solutions.

Last year, Allystar's loss narrowed to 141 million yuan (HK$154 million) and the turnover increased by 30 percent to 840 million yuan.

STAFF REPORTER