Zhejiang University Doctoral Advisor Leads Team, Valuation Exceeds 6 Billion, Kesheng Technology Makes Another Attempt at Hong Kong Stock Exchange, Top Five Customers Contribute Over 88% of Revenue

（Image source: Visual China）

Blue Whale News, March 25 — On March 24, the Hong Kong Stock Exchange website showed that Zhejiang Kesheng Technology Co., Ltd. (hereinafter “Kesheng Technology”) submitted its prospectus, planning to list on the Hong Kong Main Board. This is the company’s second listing application after the initial submission in September 2025 failed, with CITIC Construction International serving as the exclusive sponsor and overall coordinator.

Led by Zhejiang University doctoral advisors, valuation at 6 billion yuan

Kesheng Technology was founded in 2010, formerly known as Zhejiang Zhongkong Solar Energy Technology Co., Ltd., headquartered in Qiantang District, Hangzhou, Zhejiang. Founder Jin Jianxiang has over 40 years of experience in automation and was a co-founder of Zhongkong Technology (688777.SH), leading the development of domestically produced DCS systems widely used across industries.

Under Jin Jianxiang’s leadership, Kesheng Technology has become one of the solution providers in tower-type solar thermal power and molten salt energy storage, focusing on related technology research, equipment sales, and engineering applications, with capabilities spanning project development, construction consulting, and post-operation support.

From 2021 to 2024, the company supplied concentrated solar heat collection systems to 11 Chinese solar thermal power plants. These systems are critical subsystems of molten salt tower solar power plants, with a total designed capacity of 1,250 MW. Revenue mainly comes from tower-type solar thermal power-related businesses, with sales of the concentrated heat collection systems and their core subsystems being the primary sources, accounting for over 90% of total revenue annually.

According to a report by Frost & Sullivan, from 2021 to 2024, the company held a market share of 57.9% in project total designed capacity and 55.0% in project count among Chinese concentrated solar heat system suppliers.

Before going public, the company completed multiple rounds of financing. In the latest round in July 2023, the post-investment valuation was approximately 6.081 billion yuan.

The prospectus shows that Jin Jianxiang currently owns 3.33% directly, and through Huzhou Yueri, holds 21.77%, totaling 25.10%, making him the largest individual shareholder. He is mainly responsible for formulating the company’s overall development strategy and presiding over the board of directors.

Since July 1984, Jin Jianxiang has been teaching at Zhejiang University, serving as an assistant, lecturer, associate professor, researcher (professor), and doctoral supervisor. He has also held roles such as chief engineer, executive vice president, president, director, vice chairman, and chairman at Zhongkong Technology.

Customer concentration exceeds 88%, with 300 million yuan in dividends before listing

In terms of performance, Kesheng Technology has achieved rapid growth over the past three years. In 2024, revenue reached 2.189 billion yuan, up 155.19% year-over-year, with net profit of 540 million yuan, up 117.48%. Gross profit margin was 31.73%. In 2025, revenue is projected to be 2.193 billion yuan, net profit 568 million yuan, with gross margin increasing to 37.66%.

Despite its significant technological and market advantages in the solar thermal power sector, the company’s customer concentration remains high. From 2022 to the first half of 2025, the top five customers accounted for over 88.5% of revenue each year, approaching 100% in some years, indicating high dependence on key clients.

Additionally, the company operates a light-asset model, relying on external manufacturing, which poses supply chain and quality control risks. Accounts receivable ratios are high, and cash flow is under pressure.

It is worth noting that Kesheng Technology has paid dividends multiple times. According to the prospectus, the company distributed dividends of 155 million yuan in December 2024. In September 2025, it declared dividends of 144.1 million yuan. In total, the company paid out about 300 million yuan in dividends before going public.

Furthermore, industry competition is intensifying, with peers like First航High Tech and Dongfang Electric expanding their presence. The solar thermal industry heavily depends on government subsidies and renewable energy policies. If policy support weakens, project approval and revenue stability could be affected. Many projects are located in desert regions of northwest China, facing risks from extreme weather and logistics. Fluctuations in raw material prices may also increase costs. These factors could impact the company’s future operations and development.

The funds raised from this IPO will be mainly allocated to five areas: expanding R&D centers to strengthen core technology development and grow R&D teams; promoting molten salt energy storage technology and expanding applications such as waste heat recovery and flexible modifications for coal-fired power plants; purchasing assembly and processing equipment and core solar thermal components to enhance production capacity; expanding and upgrading operational offices and establishing regional technical service outlets to improve project delivery; and supplementing working capital and for general corporate purposes.