Recently, Yueqing Bada Optoelectronic Technology Co., Ltd. announced that it has submitted the materials for the listing tutoring filing to the Zhejiang Securities Regulatory Bureau and received acceptance. The company has officially entered the listing tutoring stage, with Guotai Haitong Securities as the tutoring institution.
According to the announcement, Bada Optoelectronics’ non-GAAP net profits for 2023 and 2024 are expected to be 46.75 million yuan and 22.34 million yuan respectively, with weighted average return on net assets of 14.85% and 6.85% respectively. These figures meet the financial requirements for listing on the Beijing Stock Exchange.
With the continuous increase in the market penetration rate of new energy vehicles, high-voltage connectors, as one of the key components, are enjoying a dual dividend of market expansion and technological upgrading. Bada Optoelectronics, as a national-level “Little Giant” enterprise specializing in niche markets, has initiated its listing process at this time. This is not only a breakthrough for a single enterprise but also a microcosm of the accelerated capitalization process of the entire industry chain.
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Unveiling the Listing
The “Little Giant” of High-Voltage Connectors from Yueqing Goes Public on the Beijing Stock Exchange
Bada Optoelectronics was established in 2007, with its headquarters in Yueqing, Zhejiang Province. It is a national-level specialized, refined, distinctive and innovative enterprise that focuses on providing solutions for optoelectronic sensing, high-voltage connectors, and electrical systems in new energy vehicles.
The company’s main business covers products such as high-voltage connectors, high-voltage power distribution units (PDUs), and battery pack connection systems, which are widely used in new energy vehicles, charging piles, energy storage systems and other fields. Its customer base includes many mainstream domestic new energy vehicle manufacturers and component suppliers.
From the financial data, Bada Optoelectronics achieved a net profit of 46.75 million yuan after deducting non-recurring gains and losses in 2023, and 22.34 million yuan in 2024. The company’s profit in 2024 declined compared to 2023. This not only reflects the price pressure brought about by the intensified competition in the new energy vehicle industry but may also stem from the company’s proactive strategic choice to increase investment in research and development and production capacity in advance to secure a position in the future market. This is a common feature of high-growth enterprises during their expansion phase. Initiating the listing process at this critical juncture is precisely to leverage capital and stockpile sufficient “ammunition” for the upcoming technological breakthroughs and market expansion.
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The new energy vehicle industry holds great promise, attracting connector enterprises to fully commit.
High-voltage connectors are a key component of the high-voltage electrical system in new energy vehicles, responsible for ensuring reliable connection and transmission among high-voltage components such as batteries, motors, and electronic control units. As the voltage platform of electric vehicles upgrades from 400V to 800V or even 1000V, the technical requirements and value of high-voltage connectors increase simultaneously.
According to a research report released by KPMG Consulting, the global market size of high-voltage connectors reached 35 billion yuan in 2024 and is expected to grow to 60 billion yuan by 2028, with a compound annual growth rate of 15%. Among them, China’s market share exceeds 50%, making it the world’s largest market for high-voltage connectors.
The new energy vehicle industry is moving towards a high-voltage fast-charging technology route, which brings structural growth opportunities to the high-voltage connector market. Bernstein analyst David Dai predicts that the global penetration rate of 800V models will exceed 35% by 2025. This will further drive the expansion of the high-voltage connector market.
The high-voltage connector industry features high technical barriers, covering multiple dimensions such as materials science, precision manufacturing, and electrical performance. Meanwhile, automotive-grade requirements impose extremely high standards on the reliability, durability, and safety of products, presenting a high threshold for new entrants.
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Analysis of the Situation
The Offensive and Defensive Battle in a Tripartite Confrontation
The players in the high-voltage connector market can be divided into three tiers: international giants, domestic listed companies and start-ups.
International giants such as TE Connectivity, Amphenol and Rosenberger have occupied a large share of the high-end market by virtue of their technological first-mover advantages and global layout. These enterprises have leading product performance, but their prices are relatively high and their localized service capabilities are relatively limited.
Domestic listed companies include AVIC Optoelectronics, Yonggui Electric, and Yihua Co., Ltd. Among them, AVIC Optoelectronics, as a connector enterprise with a military background, has strong technical strength; Yonggui Electric has been deeply engaged in the fields of rail transit and new energy vehicles for many years; and Yihua Co., Ltd. has extended from communication connectors to high-voltage connectors.
Compared with these listed companies, Bada Optoelectronics is smaller in scale, but it focuses on the high-voltage electrical equipment market and has certain product features and customer resources. The Beijing Stock Exchange has become an important platform for such “small but beautiful” enterprises to connect with the capital market.
The current market concentration of high-voltage connectors is relatively high, but an absolute monopoly pattern has not yet been formed. The differentiation of various application scenarios and customer demands provides survival space for all kinds of enterprises. With the improvement of industry standardization and the manifestation of scale effects, market integration will accelerate.
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Impact of going public
A chain reaction that shakes up the industrial landscape
For itself, inject an “accelerator”: If Bada Optoelectronics successfully goes public, it will inject strong impetus into its own development. The raised funds can effectively support capacity expansion and technological upgrading, replenish working capital to alleviate financial constraints, and at the same time enhance brand influence and market recognition, helping to attract high-quality talents and diversified customers, and reduce the operational risk of overly concentrated customer base. Moreover, a standardized and transparent governance structure and management will lay a solid foundation for its long-term development in the high-voltage connector market.
For the industry, setting a “new milestone”: The successful listing of Bada Optoelectronics will validate the value of the Beijing Stock Exchange in nurturing innovative small and medium-sized connector enterprises, further attracting similar enterprises to connect with the capital market and accelerating the capitalization process of the industry. The technology research and development and capacity expansion supported by capital will help the domestic high-voltage connector industry better adapt to the trend of 800V platform popularization, promote the implementation of emerging technologies such as liquid-cooled charging and the standardization and scale development of the industry, consolidate China’s core position in the global market, and at the same time drive the integration of industrial chain resources, enhance the domestic substitution capacity and overall competitiveness of the industry.
For peers, intensifying the “knockout round”: The listing of Bada Optoelectronics will create a demonstration effect, intensifying the competition for funds, talents and customer resources in the market, and accelerating the industry reshuffle. It will not only force domestic listed companies to increase R&D investment and deepen their focus on scenarios, and strengthen their core advantages, but also provide a capitalization path for start-ups in the same field for reference. At the same time, it will enhance the competitive voice of domestic enterprises in the high-end market, further squeezing the share of international giants, and promoting the industry competition pattern to tilt towards localization.
However, it should also be noted that the industry competition will be further intensified due to the capital injection. The price war and the competition for talent and customer resources will become more intense. The market concentration pattern with a high degree of concentration will still exert pressure on it. Coupled with the fact that the hidden danger of customer dependence has not been completely eliminated, the potential threats of raw material price fluctuations and the iteration of emerging technologies such as liquid-cooled charging, the development opportunities and multiple risks brought by the listing of Bada Optoelectronics will coexist simultaneously.
For Bada Optoelectronics, going public is just the first step of a long journey. In the increasingly competitive high-pressure connector market, technical strength, customer resources, cost control capabilities and capital support are all indispensable. A successful listing will provide fuel for the company’s development, but whether it can stand out in the industry reshuffle in the end still needs to be tested by the market.