--- title: "Anchoring Saudi Arabia + Cost Dominance, the Logic Behind CHUANGXIN IND's 446 Times Oversubscription" type: "News" locale: "zh-HK" url: "https://longbridge.com/zh-HK/news/266907567.md" description: "CHUANGXIN IND's Hong Kong IPO was oversubscribed by 446 times, with international placements oversubscribed by over 40 times. 17 top cornerstone investors subscribed for USD 351 million, accounting for nearly 50%. The company has three major advantages: integrated industrial chain, cost control, and overseas layout, with a projected net profit compound annual growth rate of approximately 70% from 2022 to 2024. The company is expanding in Saudi Arabia, leveraging local low-cost electricity and market potential to further enhance growth opportunities" datetime: "2025-11-21T11:32:44.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/266907567.md) - [en](https://longbridge.com/en/news/266907567.md) - [zh-HK](https://longbridge.com/zh-HK/news/266907567.md) --- > 支持的語言: [简体中文](https://longbridge.com/zh-CN/news/266907567.md) | [English](https://longbridge.com/en/news/266907567.md) # Anchoring Saudi Arabia + Cost Dominance, the Logic Behind CHUANGXIN IND's 446 Times Oversubscription CHUANGXIN IND (02788.HK) Hong Kong stock IPO ignites capital frenzy: oversubscription of 446 times for margin financing, over 40 times for international placement, with 17 top cornerstone investors pouring in USD 351 million, accounting for nearly 50% of the subscription. Behind this carnival is the global capital's deep recognition of the company's strategy of "Chinese production capacity + overseas layout" and its clear growth path. ### 1\. Capital Enthusiasm: Oversubscription Data Reflects Global Confidence The core of capital pursuit lies in the company's strong advantages rooted in China's electrolytic aluminum industry. China's electrolytic aluminum production capacity accounts for over half of the global total, with an irreplaceable complete industrial chain barrier. CHUANGXIN IND precisely focuses on the high value-added refining and smelting segments, creating an integrated ecosystem of "energy - alumina refining - electrolytic aluminum smelting." In 2024, the company's alumina self-sufficiency rate is about 84%, and the electricity self-sufficiency rate is about 88%, the latter significantly exceeding the industry average, establishing a core barrier for electrolytic aluminum production, which is highly reliant on electricity. Production efficiency and cost control further demonstrate hard strength: the per capita output of electrolytic aluminum reaches 590-670 tons, more than twice the industry average; in 2024, the cash cost per ton of aluminum is RMB 15,112, significantly lower than the domestic average of RMB 17,700, with the ability to manage cash costs per ton of aluminum ranking among the top 5 in China and top 30 globally. In terms of performance, net profit is expected to soar from RMB 913 million in 2022 to RMB 2.63 billion in 2024, with a compound annual growth rate of about 70%; operating cash flow net amounts for 2023 and 2024 are expected to reach RMB 4.55 billion and RMB 3.46 billion, respectively, with abundant cash flow not only solidifying a robust operational foundation but also becoming a strong backing for overseas expansion. ### 2\. Forward-looking Layout: Saudi Base Opens Growth Ceiling As domestic electrolytic aluminum production capacity reaches its ceiling, CHUANGXIN IND has taken the lead in establishing a base in Saudi Arabia, seizing a strategic high ground. Saudi Arabia not only possesses abundant oil and gas resources, providing low-cost and stable electricity support, but also, with the rapidly developing market potential in the Middle East, has become a new blue ocean for the global aluminum industry. According to CRU's forecast, the annual compound growth rate of electrolytic aluminum demand in the Middle East will reach 4.6% from 2025 to 2028. This project is a comprehensive project in the electrolytic aluminum industry chain, with a planned annual production capacity of 500,000 tons, which not only aligns with Saudi Arabia's "Vision 2030" industrial upgrade needs but can also be seen as one of the highlight projects of China-Saudi diplomacy. Currently, the company's electrolytic aluminum and alumina production capacities are 788,000 tons and 1.2 million tons, respectively. Once the project reaches full production, it will significantly enhance capacity scale, helping the company simultaneously capture overseas production capacity and market dividends, opening up long-term growth space. Conclusion While domestic peers are still constrained by capacity bottlenecks, CHUANGXIN IND has built a "energy + capacity + market" iron triangle in the Middle East The luxurious cornerstone lineup composed of Glencore, Hillhouse Capital, China Hongqiao, and Taikang Life not only brings solid financial endorsement but also builds a global resource and market channel. This IPO fundraising will accelerate debt optimization, combined with the scale effects and cost advantages released from future Saudi projects, the company's profit growth certainty continues to strengthen. This company, which has the triple advantages of integrated industrial chain, cost control, and overseas layout, is expected to continuously release value after going public, confirming the high recognition of global capital for the company's strategic vision ### 相關股票 - [CHUANGXIN IND (02788.HK)](https://longbridge.com/zh-HK/quote/02788.HK.md) ## 相關資訊與研究 - [Chuangxin Industries Sets 2026 AGM to Approve Dividend, Board Mandates](https://longbridge.com/zh-HK/news/281414717.md) - [Chuangxin Industries Announces 2025 Annual Results](https://longbridge.com/zh-HK/news/279538898.md) - [Foss: Demand Disruption in Refined Products Not Brent](https://longbridge.com/zh-HK/news/281160396.md) - [Saudi IPOs slow as listings drop to eight-year low](https://longbridge.com/zh-HK/news/281269797.md) - [RUSAL Signs $16 Million Grid Connection Deals With En+ Associate for Taishet Expansion](https://longbridge.com/zh-HK/news/281112248.md)