Laifual seeks $147 million in Hong Kong IPO

Robotic precision transmission component maker Zhejiang Laifual Drive Co. Ltd. (3952.HK) began taking orders on Monday for its Hong Kong IPO, offering 13.44 million shares for between HK$77 and HK$85.50 each, to raise up to HK$1.15 billion ($147 million). Trading of the stock is set to commence next Tuesday.

Laifual’s portfolio of robotic precision transmission components includes harmonic reducers, joint modules, robotic arms and automated workstations. Its products are primarily used in humanoid and industrial robots.

According to third-party data from its prospectus, China’s harmonic reducer market was a duopoly in 2025. Laifual ranked second, with 21.4% of the market by shipment volume and 12.9% by revenue, trailing only Leader Harmonious (688017.SH).

The company reported revenue of 260.9 million yuan ($38.5 million) in 2025, up 142.2% year-on-year. Its net loss widened by 1.1% to 170.6 million yuan, while its gross margin improved by 1.6 percentage points to 25.6%.

Laifual said 55% of its IPO proceeds will be used to expand production capacity, 20% will go to R&D, 5% to expand its overseas sales network, 10% for strategic investments or acquisitions, and the remaining 10% for working capital and general corporate purposes.

By Lee Shih Ta

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