On January 27, Chongda Technology disclosed that the total amount of funds raised by the company's non-public issuance of shares in this non-public offering of shares does not exceed 2 billion yuan (including the principal amount), which is intended to be used for the new circuit board project (phase II) of Zhuhai Chongda Circuit Technology Co., Ltd. after deducting the relevant issuance fees.
Under the accelerated evolution of current cloud computing, 5G, big data, Internet of Things, artificial intelligence, Industry 4.0 and other application scenarios, the PCB industry will usher in a broad market space and good development prospects. According to Prismark data, the global PCB industry output value in 2020 is 65.219 billion US dollars, an increase of 6.37% year-on-year; from 2020 to 2025, it is expected to grow at an average annual compound growth rate of 5.77%, and the global PCB industry output value will reach 86.325 billion US dollars by 2025, and the PCB output value of Chinese mainland will continue to occupy more than 50% of the global market share.
Among them, communication is the most important downstream application field of PCB, PCB requirements in the field of communication are divided into communication equipment and mobile terminals, PCB requirements of communication equipment are mainly multi-layer boards, pcB requirements of mobile terminals are mainly HDI boards, flexible boards and packaging substrates, and the arrival of the 5G era has stimulated the huge demand of the communication equipment and mobile terminals and other markets.
On the one hand, 5G as a key new infrastructure to support the digitalization, networking and intelligent transformation of the economy and society, the pace of commercialization continues to accelerate, in June 2019, the Ministry of Industry and Information Technology issued 5G commercial licenses to Four operators of China Telecom, China Mobile, China Unicom and China Radio and Television, and the mainland 5G commercialization took a key step.
According to data from the Ministry of Industry and Information Technology, as of November 2021, there are more than 1.396 million 5G base stations in the mainland, and the number of 5G mobile terminal connections has reached 497 million households, and the number of 5G base stations will increase significantly in the next few years. With the application and continuous advancement of 5G technology, the communications industry will usher in a new round of upgrading construction, bringing new market opportunities to the PCB market, especially high-multilayer boards. According to the "White Paper on the Economic and Social Impact of 5G" released by the China Academy of Information and Communications Technology, it is expected that 5G will drive about 484 billion yuan of direct output and 1.2 trillion yuan of indirect output in 2020, and by 2030, the direct output and indirect output driven by 5G will reach 6.3 trillion yuan and 10.6 trillion yuan, respectively, with an average annual compound growth rate of 29% and 24%, respectively.
On the other hand, the new crown epidemic has accelerated the penetration of the digital process of the whole society into various fields, long-distance work, home learning, etc. have become the new normal of life, the market demand for mobile terminals such as smart phones is strong, and the wave of replacement brought about by the formal commercialization of 5G has also promoted the growth of smartphone demand. At the same time, fingerprint recognition, 3D Touch, full screen, dual camera, face recognition, folding screen and other smart phone innovation points continue to emerge, major mobile phone brands through continuous innovation, enrich product functions, optimize the use of experience to stimulate consumer demand for replacement. With the increasing demand for smart phone function integration, more and more functional modules, the value of PCBs required for stand-alone computers, especially high-end PCBs, is getting higher and higher, and the demand for PCB products in the field of mobile terminals in the future will continue to be one of the main driving forces for the growth of the PCB industry.
It is understood that Zhuhai Chongda Phase I has been trial production in the second quarter of 2021, mainly producing 4-8 layers of high-volume PCB products used in the automotive, central control, security, optoelectronic fields, with an annual design capacity of 2.7 million square meters.
From the 2021 semi-annual report of Schunk Technology, it was learned that in terms of 5G customers, the main customers of Schunk Technology Cooperation are ZTE, Fiberhome, CommScope, Gaoyi (II-VI), Broadcom, Amphenol, Intel and other well-known enterprises.
In addition to 5G communications, its major customers include: ABB, Schneider, Bosch, Hikvision, Dahua Technology, BOE, H3C, Panasonic, Preh Joyson, JW, Jatec, Flextronics, Jabil and other industry leaders.
Chongda Technology said that because most of the domestic PCB board production enterprises do not have a high level of process technology, there are fewer enterprises that can form large-scale, stable and reliable production of high-end products, so the production capacity of high-end products is limited. However, with the rapid development of the downstream industry, the market demand for high-end PCB boards is becoming more and more vigorous. The company is one of the few enterprises in the industry with technological leading edges, has the ability to produce high-end products on a large scale, stable and reliable, the main product types cover double-sided panels, high-multi-layer boards, HDI plates, thick copper plates, back plates, soft and hard combination plates, buried plates, three-dimensional plates, aluminum substrates, high-frequency boards, etc. However, due to the limitation of venue and production capacity, the company's high-end PCB board production capacity can no longer meet the needs of the rapid development of the high-end market, therefore, the company urgently needs to further expand the production capacity of high-end products and enhance product competitiveness. After the funds are raised, the company will expand the production capacity of high-multi-layer boards and HDI boards, improve product structure, and enhance product market competitiveness. (Proofreading/New)