Hunan Yunneng completes nearly 4.8 billion yuan in private placement

Securities Times China Securities Network News: On April 3, Hunan YU Neng released an announcement showing that the company has completed the private placement. The issue price is 58.01 yuan per share, and the total amount of funds raised is 4.79B yuan. The funds will be used for the “Annual production of 320k tons of manganese iron phosphate lithium project,” “Annual production of 75k tons of ultra-long cycle lithium iron phosphate phosphate project,” among others. The final issuance targets include 18 entities, such as Huizhong Life Insurance, Cathay Fund, UBS AG, and TAI Fund, etc.

The company said that after the lithium battery industry chain experienced rapid growth from 2020 to 2022, in 2023 the growth rate shifted gears and the supply-demand relationship changed significantly. In 2024, the industry is still in the bottoming-out stage, and market competition is relatively fierce. In 2023 and 2024, the prices of lithium carbonate generally saw a downward trend amid volatility, and the prices of phosphate-based cathode materials also fell accordingly, leading to a decline in the company’s profitability. From January to September 2025, downstream demand grew strongly. The supply-demand relationship in the phosphate-based cathode materials industry is expected to improve, and the decline in the prices of lithium carbonate and phosphate-based cathode materials is showing signs of slowing down, resulting in the company’s non-recurring profit and loss net profit increasing year over year.

The company will disclose its 2025 annual report on April 23. (Liu Zhongcai)