Hongli Group Inc.

General Information

**NOTE: We, Hongli Group Inc. (“Hongli Cayman”), are an offshore holding company incorporated in the Cayman Islands. You are not investing in the PRC (People’s Republic of China) operating entities. Instead, we consolidate financial results of Hongli Shandong as our primary beneficiary through the Contractual Arrangements. Please see “Prospectus Summary — Corporate Information” for the summary of our corporate structure and the Contractual Arrangements. Please see the “Risk Factors” section starting on Page 30 of the prospectus. **Our CEO and chairman of the board, Jie Liu, will own about 75.91 percent of the aggregate voting power of our outstanding stock after the IPO, and we will be a “controlled entity” within the meaning of the NASDAQ listing standards.

The PRC operating entities are one of the leading cold roll formed steel profile manufacturers in China with respect to function innovation, performance improvement, and customized manufacturing of the products, according to the China Sub-Association for Cold Formed Steel Industries, a professional industrial association. A profile is a specific product designed for a specific use. The PRC operating entities design, customize and manufacture cold roll formed steel profiles for machinery and equipment in a variety of sectors, including but not limited to mining and excavation, construction, agriculture and transportation.

With more than a 20-year operating history, the PRC operating entities have developed customers in more than 30 cities in China and a global network covering South Korea, Japan, the U.S., and Sweden. The customers of the PRC operating entities include large corporations and international enterprises such as Weichai LOVOL Heavy Industry Co. Ltd. (“LOVOL”), SUNGJIN TECH CO., LTD (“South Korean VOLVO”), Shandong Lingong Construction Machinery Co., Ltd. (“SDLG”), and some new customers associated with Katsushiro Machinery Co., Ltd. (“Japan Katsushiro”). Most of the customers have been with the PRC operating entities for an average of 10 years. Most of the main customers of the PRC operating entities increased orders with the PRC operating entities during the fiscal years ended Dec. 31, 2021, and 2020, and based on their new contracts with the PRC operating entities, they will continue to increase their orders in the next two to three years.

**Note: Revenue and net income figures are in U.S. dollars for the 12 months that ended June 30, 2022.


(Note: Hongli Group further downsized its IPO at pricing on March 28, 2023, by cutting the number of shares to 2.06 million (2,062,500 shares) – down from 2.5 million in the recently downwardly revised deal in the prospectus – and priced the IPO at $4.00 – the low end of its $4.00-to-$6.00 price range – to raise $8.25 million. The downsizing cut the IPO’s proceeds by 34 percent to $8.25 million – down from $12.5 million, the estimate based on mid-point pricing under the prospectus terms. Background: Hongli Group Inc. cut the size of its IPO to 2.5 million shares – down from 4.0 million shares – and kept the price range at $4.00 to $6.00 to raise $12.5 million, according to an F-1/A filing dated Feb. 10, 2023. Previously: Hongli Group had cut the size of its IPO to 4.0 million shares, down from 5.5 million shares, and kept the price range at $4.00 to $6.00 to raise $20.0 million, according to an F-1/A filing dated Dec. 5, 2022. Hongli Group Inc. increased the size of its IPO to 5.5 million shares, up from 5.0 million shares, and kept the price range at $4.00 to $6.00 to raise $28.0 million, according to an F-1/A filing dated Sept. 14, 2022. Hongli previously updated its prospectus with an F-1/A filing on July 15, 2022; the company filed confidentially on April 16, 2021, and filed its F-1 (prospectus) on Dec. 30, 2021.)

Industry: Manufacturing - Cold roll formed steel profile
Founded: 1999
Contact Information
Address Beisanli Street, Economic Development Zone Changle County, Weifang Shandong, China 262400
Phone Number +86 0536-2185222
Web Address https://www.hlyxgg.com/
View Prospectus: Hongli Group Inc.
Financial Information
Market Cap $103.25mil
Revenues $21.94 mil (last 12 months)
Net Income $3.61 mil (last 12 months)
IPO Profile
Symbol HLP
Exchange NASDAQ
Shares (millions): 2.1
Price range $4.00 - $4.00
Est. $ Volume $8.3 mil
Manager / Joint Managers EF Hutton
Expected To Trade: 3/29/2023
Status: Priced
Quiet Period Expiration Date:
Lock-Up Period Expiration Date:
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