Press Release

JPMFC Acted as the Sole Sponsor and Sole Underwriter for Shanghai Baolong Automotive Corporation Initial Public Offering

Shanghai Baolong Automotive Corporation (603197.SH) successfully completed the subscription session for its Initial Public Offering of 29.28 million shares on May 9th, 2017, and the newly-issued shares have been listed on the Main Board of Shanghai Stock Exchange since May 19, 2017. JPMFC acted as the sole sponsor and sole underwriter for the deal.

The issuing price was set at RMB 22.87 per share, corresponding to 21.66x post-IPO P/E ratio, and 29.28 million new shares, accounting for 25.00% of total shares post the IPO, were issued to raise approximately RMB 0.67 billion. After the launch of claw-back mechanism,2.928 million shares, or 10% of the new shares, were issued offline, while 26.352 million shares or 90% of the new shares, were issued online, with its online lottery rate as low as 0.02756514%.

Baolong Automotive is devoted to the research and development, production and sales of the auto parts. Baolong Automotive’s products, such as exhaust system fitting, inflating valve and TPMS, are very competitive in the market and have a high market share in the global market. Shanghai Baolong Automotive Corporation has been highly acknowledged by the government and has been judged as the High Technology Enterprise, the Shanghai Innovation Enterprise, the Shanghai Young Giant of Technology Enterprises and Preponderant Enterprise with Intellectual Property.