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Chinese business services provider YSX Tech files and sets terms for a $6 million US IPO

June 18, 2024

YSX Tech, which provides business services primarily to insurers and brokerages in China, filed on Tuesday with the SEC to raise up to $6 million in an initial public offering.

The Guangzhou, China-based company plans to raise $6 million by offering 1.3 million shares at a price range of $4 to $6. At the midpoint of the proposed range, YSX Tech would command a market value of $116 million.

Through its operating subsidiaries, the company provides comprehensive business solutions to enterprise customers, mainly insurance companies and brokerages, in China. It specializes in auto insurance aftermarket value-added services, but also offers software development and information technology services and other scenario-based customized services. In the FY23, YSX served a total of 52 enterprise customers, including 26 insurance company customers and 10 insurance brokerage customers, such as PICC Property and Casualty and China Ping An Property Insurance.

YSX Tech was founded in 2015 and booked $55 million in revenue for the 12 months ended September 30, 2023. It plans to list on the Nasdaq under the symbol YSXT. Tiger Brokers and Kingswood Capital Markets are the joint bookrunners on the deal.