On July 31, 2020, Hefei JiangHang Aircraft Equipment Co., Ltd. (“JiangHang”), an investee company of China Zhongji Investment, was officially listed on the STAR Market of the Shanghai Stock Exchange. The stock abbreviation is JiangHang Equipment, and the code is 688586. The initial public offering (IPO) was 100,936,117 shares, with an issue price of RMB 10.27 per share. On the first day of trading, it closed at RMB 40.36 per share, a surge of 292.99% from the issue price.
JiangHang is located in the Aviation Industrial Park of Hefei, Anhui Province. It is a large-scale military-civilian combined aviation high-tech enterprise affiliated with the Aviation Industry Corporation of China (AVIC). It is one of the first batch of state-owned military enterprises to conduct mixed-ownership reform pilot programs under the National Development and Reform Commission and is also included in the SASAC's “Double Hundred Action” plan. In June 2018, JiangHang introduced four external strategic investors for the first time, with China Zhongji Investment being one of them.
JiangHang's business focuses on aviation equipment and special refrigeration, covering military aviation, civil aviation, non-aviation defense, non-aviation civilian products, and services. It is the only specialized R&D and manufacturing enterprise for aircraft oxygen systems in China and the largest R&D and manufacturing base for auxiliary fuel tanks for military aircraft in China. It is also a leading manufacturer of special refrigeration equipment in China.
In the field of aviation equipment, JiangHang mainly undertakes the research and development and manufacturing of aircraft oxygen systems, onboard fuel tank inerting protection systems, and auxiliary fuel tanks for various aircraft models in China. It provides supporting products and services to major domestic main engine manufacturers and the military, supplying all in-service and under-development military aircraft and some civil aircraft in China with equipment needs.
In the field of special refrigeration, JiangHang's military special refrigeration equipment has achieved full coverage of the Air Force, Army, Navy, and Rocket Force. It also develops civilian special refrigeration equipment through the transformation of military technological achievements, focusing on developing niche markets such as industrial special high-temperature-resistant air conditioners and special vehicle air conditioners. The company's “Swan” brand is one of the earliest household window-type air conditioners and military container air conditioners brands in China, enjoying high industry recognition in the special refrigeration field.
JiangHang has a strong foundation for independent technological research and development and has won numerous national-level scientific and technological achievements awards, including the National Science and Technology Progress Award. Its independently developed onboard oxygen generation technology has made China the fourth country in the world, after the United States, the United Kingdom, and France, to master this technology. In addition, its onboard air separation nitrogen generation technology is also at a world-leading level. The onboard fuel tank inerting protection system using this technology fills a gap in the domestic military aircraft field.
As a military support unit, JiangHang has long served the national defense and military industry. In addition to AVIC, major military industrial groups such as the China North Industries Group Corporation, the China Aerospace Science and Technology Corporation, and the China Shipbuilding Industry Corporation have established long-term and stable partnerships with JiangHang. In the civilian field, relying on its accumulated technology and services in the military industry, JiangHang is expanding its market at a relatively fast pace.
The current period and the period to come are a crucial time for the modernization of national defense and the military. Through the IPO on the STAR Market, JiangHang will further strengthen its competitiveness and industry position in aircraft oxygen systems, onboard fuel tank inerting protection systems, auxiliary fuel tanks, and special refrigeration products, and better fulfill its mission of strengthening the aviation industry and serving the country.
