Lens Technology Co., a supplier for Apple Inc., plans to raise up to HK$4.8 billion (US$611.5 million) through a listing on the Hong Kong Stock Exchange.

The Shenzhen-listed company aims to sell 262 million shares at a price range of HK$17.38 (US$2.21) to HK$18.18 (US$2.32), according to a stock exchange filing dated June 30, 2025.

This pricing represents a discount of up to 28% compared to its last closing price of 22.06 yuan (US$3.08) on the Shenzhen exchange.

The shares are expected to begin trading in Hong Kong on July 9, 2025.

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🔗 Source: Bloomberg

🧠 Food for thought

1️⃣ Secondary Hong Kong listings reflect strategic capital diversification amid market constraints

The trend of mainland-listed Chinese companies seeking Hong Kong listings, as exemplified by Lens Technology, represents a significant shift in capital-raising strategies.

These secondary listings have dominated Hong Kong’s IPO activity, accounting for approximately three-quarters of the financial hub’s listing proceeds this year according to the article, highlighting Hong Kong’s growing role as an alternative capital source.

This capital migration is occurring specifically when the mainland Chinese market remains “constrained for fundraising,” as noted in the article, creating practical incentives for companies to tap into Hong Kong’s more accessible capital pools.

Lens Technology’s discount pricing strategy (offering shares at up to 28% below Shenzhen prices) reflects a pragmatic approach to attract investors in a challenging market environment, balancing fundraising goals against current market realities.

2️⃣ Smartphone component suppliers navigate complex growth landscape amid trade tensions

Lens Technology’s business context reveals broader market dynamics in the smartphone glass sector that extend beyond its relationship with Apple.

The global phone glass market is projected to grow substantially from USD 19.77 billion in 2024 to USD 32.1 billion by 2032 at a CAGR of 6.25%, demonstrating the sector’s long-term growth potential despite current challenges 1.

Companies in this space must balance growth opportunities against geopolitical risks, as evidenced by Lens Technology being “among Asian exporters hit by US President Donald Trump’s tariff onslaught” mentioned in the article, illustrating how trade policies directly impact manufacturing strategies.

This challenging environment explains why Lens Technology is specifically seeking funds to “expand its product and service portfolio” and “broaden its overseas presence and production capacity” as stated in the article – diversification strategies that could reduce vulnerability to single-market disruptions.

3️⃣ Customer concentration risk remains central challenge for tech component manufacturers

The revelation that Apple accounts for “almost half the Chinese company’s revenue in 2024” highlights a fundamental business vulnerability that shapes Lens Technology’s strategic priorities.

This extreme customer concentration mirrors patterns seen across the tech supply chain, where component manufacturers often become heavily dependent on a small number of large customers who command significant bargaining power.

This relationship structure directly impacts business stability, as evidenced by Lens Technology’s share price volatility following Trump’s tariff announcements – demonstrating how supplier companies face compounded risks from both policy changes and key customer decisions 2.

The smartphone cover glass market’s projected growth to USD 26.19 billion by 2033 3 offers context for why Lens Technology is pursuing expansion despite these challenges – the growing market provides opportunities to diversify customer relationships.

Lens Technology’s focus on vertical integration in smart manufacturing, mentioned as a use of proceeds in the article, represents a strategic response to these pressures – potentially improving margins and creating differentiation in a market where customer power is otherwise dominant.

Recent Lens Technology developments

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