Daily Brief China: Zhongji Innolight , Ascentage Pharma, Aulton New Energy, Sungrow Power Supply and more

• Zhongji Innolight, a global optical interconnect player, passed hearing for an A+H listing. GS, CICC, MS, and GF are the joint sponsors.
• We look at the company’s core segments: high-speed and mid-to-low-speed optical transceivers.
• We discussed our preliminary thoughts on the company’s valuation based on A-H premium.

• Zhongji Innolight (300308 CH) one of the world’s largest optical transceiver manufacturers, now aims to raise around US$7bn in its H-share listing.
• Innolight was the global leader in 2025 in optical modules, with its products being in high demand for data centers.
• In our previous notes, we have looked at the company’s past performance and recent filings updates. In this note, we talk about the likely A/H premium/discount.

• Ascentage Pharma (6855 HK) has filed for a likely future at-the-market equity offering program of American depositary shares to raise up to US$ 200M.
• Company reported revenue of RMB 574.1M in 2025, down 41.5%, largely because of high base effect. Revenue from Olverembatinib was up 81% YoY. Lisaftoclax garnered RMB 70.6M in sales.
• Losses will continue and R&D expenses, commercialization cost will be catered to by the likes of above ADS offering and previous placement proceeds. 2027 likely to be an inflection point.

• Aulton New Energy is an established participant in China’s battery-swapping industry, offering a comprehensive portfolio of products and services across the battery-swapping ecosystem.
• As of April 30, 2026, 531 stations and over 140,000 EVs were registered. The company ranked third in China for battery-swapping station operation services revenue in 2025.
• Revenue was RMB235,134 thousand and gross profit was RMB4,123 thousand for 4M 2026, with a loss of RMB91,432 thousand.

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• SUNGROW’s three pillar business has undergone significant changes: energy storage systems surpassed PV inverters and other power conversion devices for the first time, becoming the largest source of revenue.
• The overall revenue growth showed an upward trend in 2025, but there was a sharp decline in 25Q4. Increasing competition and downward pressure on industry prices are the reasons.
• Since comparable targets of photovoltaic/new energy listed on A+H shares generally have an A/H discount of 20-30%, reasonable valuation range for SUNGROW-H shares could be P/E of 10-14x.