Quectel completes private placement, raises 2.22 bn yuan for growth

Quectel Wireless Solutions (SSE:603236) has successfully completed a private placement, issuing 26,165,765 new A-share common stocks at a price of 85.21 yuan per share. The placement, which saw subscriptions from 14 investors, raised a total of 2,229,584,835.65 yuan. The net proceeds, after deducting issuance expenses, amounted to 2,219,926,105.91 yuan. All newly issued shares are subject to a six-month lock-up period, commencing from the issuance completion date of December 24, 2025.

The issuance was approved by the China Securities Regulatory Commission (CSRC) and registered with China Securities Depository and Clearing Corporation Limited (CSDC) Shanghai Branch on December 24, 2025. Following the placement, the company's total share capital increased to 287,823,419 shares, with chairman Qian Pengho retaining his position as the controlling shareholder. This capital injection is intended to bolster Quectel's overall financial strength and optimize its capital structure.

The raised funds will be allocated towards key initiatives, including the expansion of vehicle-mounted and 5G module production, the industrialization of AI computing power modules and AI solutions, and the upgrade of its headquarters and R&D center, aligning with Quectel's strategic growth plans for its core IoT business. This move is expected to enhance the company's profitability and market competitiveness without significantly altering its business or governance structure.