Another Solar Company Successfully Goes Public in 2025

Another Solar Company Successfully Goes Public in 2025!

On April 28, 2025, Jiangsu Zerun New Energy Technology Co., Ltd. (hereafter referred to as “Zerun New Energy”) officially commenced its initial public offering (IPO) application on the Growth Enterprise Market, planning to issue 15.967 million shares and raise 720 million yuan. The results of the lottery will be announced on April 30. Since its IPO was approved in February 2024, Zerun New Energy has taken one year to successfully list on the Growth Enterprise Market, becoming the second solar company this year to receive registration approval from the China Securities Regulatory Commission (CSRC).

On April 25, the company announced an issue price of 33.06 yuan per share, which corresponds to a diluted price-to-earnings (P/E) ratio of 17.57 times based on the net profit attributable to the parent company for 2024, excluding non-recurring gains and losses. The average dynamic P/E ratio for the industry over the past month was 19.99 times. On May 16, Zerun New Energy officially debuted on the Growth Enterprise Market (stock code: 301636) with an issue price of 33.06 yuan per share, and on its first trading day, the stock opened significantly higher at 65.5 yuan per share. As of the time of writing, the latest price of Zerun New Energy’s stock is 71 yuan per share, reflecting a remarkable increase of 114.76%.

Zerun New Energy: From Hardware to Box

Founded in 2017, Zerun New Energy specializes in the production of smart junction boxes, traditional junction boxes, photovoltaic connectors, photovoltaic cables, and cable assemblies. The path to listing for Zerun New Energy has been notably smoother compared to its peers in the solar industry, many of whom have faced halts or setbacks. Founder Chen Zepeng started with hardware molds and gradually expanded into cables and connectors, ultimately focusing on the niche market of photovoltaic module junction boxes. Despite their small size, junction boxes are critical protective components of photovoltaic modules, responsible for current output and circuit safety.

Through technological advancement and strategic integration, Zerun New Energy rapidly rose to prominence and became an important supplier for TE Connectivity. The company initiated its IPO process in 2023 and received approval for registration in February 2025, making it the third listed company primarily engaged in junction boxes, following Tongling Co., Ltd. and Kuai Ke Electronics.

From 2021 to the first half of 2024, Zerun New Energy achieved revenues of 297 million yuan, 522 million yuan, 844 million yuan, and 420 million yuan, respectively. The net profit attributable to the parent company was 37.72 million yuan, 86.31 million yuan, 120.15 million yuan, and 75.34 million yuan. Additionally, the company’s international revenue has been impressive, with overseas revenue accounting for 58.28%, 46.40%, 46.18%, and 39.32% of total revenue during the same period. Domestic photovoltaic module manufacturers collaborating with Zerun New Energy include TCL Zhonghuan, JinkoSolar, and Canadian Solar, while international companies such as Maxeon and LG Electronics are also part of its client base. In North America and Asia, Zerun New Energy has established deep partnerships with international firms, including First Solar, whose contribution to gross profit exceeded 50% at one point from 2021 to the first half of 2024.

Emerging IPO Wave in the Solar Sector

The listing of Zerun New Energy is not an isolated case. Since 2025, the solar industry has experienced a “polarized” trend in the capital market. Among the solar companies that successfully went public in 2025, Shihang New Energy and Skymon Solar are notable examples. Shihang New Energy debuted on the Growth Enterprise Market on April 2, with an impressive first-day increase of 244.5%, pushing its market value past 16.7 billion yuan. Its core business covers photovoltaic inverters and energy storage systems, with the revenue contribution from storage rising to 46.6% by 2023, helping to mitigate the impact of market declines in Europe through its global presence in over 100 countries. Despite facing a projected 27.5% decline in revenue for 2024, its innovations in high-power inverters remain attractive to investors.

Skymon Solar went public on NASDAQ on March 4, raising 8 million USD. Focused on the Southeast Asian market, the company differentiates itself through a light asset model and regional strategy, with 30% of its fundraising allocated for research and development, demonstrating a commitment to technological upgrades.

In contrast, at least 15 solar companies have terminated their IPOs since 2024, with a total fundraising scale of around 20 billion yuan. For instance, Huayao Optoelectronics and Yuanshi New Type withdrew their applications due to strategic adjustments, while Dongxu Blue Sky and Jiayu Co., Ltd. were forced to delist due to persistent stock prices falling below 1 yuan. Additionally, some equipment companies, like LONGi Green Energy, although experiencing revenue growth (188.9 billion yuan in 2024), faced rising accounts receivable of 4.73 billion yuan and a net inventory value of 14 billion yuan, revealing financial risks behind the downstream expansion trend.

Policy Support Fuels Capitalization in the Solar Sector

The capital process of the photovoltaic industry is closely tied to policy support. In early 2025, the National Development and Reform Commission and the National Energy Administration issued the “Action Plan for Optimizing Power System Regulation Capability” and “Guidelines for Building a National Unified Market,” aiming for a renewable energy utilization rate of no less than 90% by 2027 while dismantling local protectionism to pave the way for distributed solar and energy storage development. Zerun New Energy’s smart junction box business aligns with this trend—its products integrate remote monitoring and rapid shutdown features, enhancing the safety and operational efficiency of distributed power stations, and are expected to further expand market opportunities driven by policies.