Changjin Photonics secures $108M IPO to scale special optical fibre production
What's the deal? Wuhan Changjin Photonics Technology, a leading Chinese manufacturer of special optical fibres, has cleared its IPO registration on Shanghai's STAR Market. The company plans to raise 780 million yuan (~$108M) to build a high-performance special optical fibre production base and R&D centre, and to supplement working capital.
Once fully operational, the new facilities will produce 20,000 kilometres of special optical fibres and 18,500 kilometres of hollow-core fibres annually.
Why now? China is pushing hard for technological self-reliance, particularly in advanced components like special optical fibres used in telecommunications, sensing, and defence. Changjin Photonics has positioned itself as a key player in domestic substitution — replacing foreign suppliers with homegrown alternatives.
The company's financials back up the timing. Revenue grew from 145 million yuan in 2023 to 247 million yuan in 2025, a compound annual growth rate of roughly 31%. Net profit rose from 51.9 million yuan to 86.8 million yuan over the same period, with gross margins on its core business staying above 65%.
What could go wrong? Special optical fibres remain a niche market, and scaling production carries execution risk — particularly for advanced products like hollow-core fibres, which are still maturing commercially. The STAR Market has also seen volatile post-IPO performance for some listings, and broader geopolitical tensions could complicate export opportunities.
The signal: This IPO reflects China's broader strategy of channelling capital into critical technology supply chains. Notably, China Mobile Fund holds a 5.26% stake in Changjin Photonics, signalling that major state-backed telecoms players see strategic value in securing domestic fibre supply. As demand for specialised optical fibres grows — driven by 5G networks, quantum communications, and advanced sensing — companies like Changjin are betting that domestic production will command a premium.
Read more: en.c114.com.cn
