HONGKONG, May 20th 2026 —— CIC extends our warmest congratulations to TOPNC (07688. HK) on its successful listing on the Hong Kong Stock Exchange (HKEX) today.
CIC's Collaborative Journey to the Listing
Throughout the listing process, CIC provided end-to-end support to the company and its sponsors:
Drafted and Compiled the industry overview chapter of the prospectus, laying a solid research foundation for the formal listing application.
Assisted in responding to inquiries from regulatory authorities, ensuring comprehensive and accurate disclosure.
Refined listing application materials continuously to meet stringent market and regulatory requirements.
Global Offering
TOPNC offered 65.33 million H-shares globally in this offering. During the public offering period, the Hong Kong public offering was oversubscribed by more than 3,700 times, reflecting strong market response.
As cornerstone investors, the Company introduced a number of top-tier institutions including RBC, 3W Fund, Boyu Capital, HHLR Advisors (a Hillhouse company), UBS Asset Management Singapore, CDH Investments, Wells Fargo Funds, China Asset Management, Mirae Asset, Goldman Sachs Asset Management, etc. These cornerstone investors collectively subscribed for approximately US$110 million of the offered shares, accounting for about 50% of the total global offering shares.
Company Profile
Founded in 2007, TOPNC is a leading enterprise in China’s high-end five-axis CNC machine tool sector, committed to import substitution and independent control of high-end manufacturing equipment. The Company researches, designs, manufactures and sells high-end five-axis CNC machine tools, which are critical equipment for processing complex aerospace components such as rocket fuel tanks and aero-engine blades.
As China’s commercial aerospace enters a new phase of large-scale development, TOPNC’s precision manufacturing capabilities have become the core industrial foundation supporting the mass production system of domestic large aircraft, rockets, satellites and other spacecraft, continuously empowering the industrialization process of China’s commercial aerospace.
According to CIC’s report, ranked by 2025 revenue in China’s aerospace five-axis CNC machine tool market, TOPNC ranked first among all suppliers. In addition, TOPNC owns a relatively complete portfolio of processes globally and has launched several “world’s first” high-precision five-axis CNC machine tools. Its products outperform domestic peers in multiple key performance indicators and are benchmarked against international leading suppliers.
Overview of China’s Five-axis CNC Machine Tool Market
CIC has conducted in-depth research, analysis and forecasting on the global and Chinese five-axis CNC machine tool industry, covering market size, drivers, development trends and competitive landscape.
China’s vast manufacturing foundation has created broad market opportunities for the CNC machine tool industry. In terms of revenue, China’s CNC machine tool market size grew from RMB 86.5 billion in 2020 to RMB 123.4 billion in 2025, and is expected to grow steadily at a CAGR of 5.3% to RMB 159.7 billion by 2030.
Among them, five-axis CNC machine tools are accelerating market penetration thanks to their superior precision, efficiency and flexibility. The corresponding market size increased from RMB 7.0 billion in 2020 to RMB 12.9 billion in 2025, accounting for 10.0% of China’s overall CNC machine tool market.
Going forward, with the continuous upgrading of the manufacturing industry, rising demand for complex precision parts processing, and cost reduction brought by technological progress, five-axis CNC machine tools are expected to replace non-five-axis CNC machine tools as mainstream processing equipment. By 2030, China’s five-axis CNC machine tool market size is projected to rise to RMB 35.2 billion, representing a CAGR of 22.2%, and its share in China’s overall CNC machine tool market will reach 22.0%.
At present, aerospace has become the most important application scenario for five-axis CNC machine tools. In 2025, China’s aerospace five-axis CNC machine tool market size reached RMB 4.34 billion, accounting for approximately 33.7% of the overall five-axis CNC machine tool market.
Looking ahead, driven by the increasing frequency of rocket and satellite launches and the accelerated mass production of C919 and other domestic large aircraft, market demand in this sector will further unlock, driving the continuous expansion of five-axis CNC machine tool scale. By 2030, China’s aerospace five-axis CNC machine tool market size is expected to reach RMB 11.5 billion, with a CAGR of 21.5% during the period. Meanwhile, the localisation rate of aerospace five-axis CNC machine tools is expected to rise from 54.6% in 2025 to 73.0% in 2030.
Industry Drivers and Trends
According to CIC’s report, the drivers and development trends of China’s five-axis CNC machine tool industry include:
1. Upcoming Peak Equipment Replacement Cycle
China’s machine tool industry follows a ten-year iteration cycle. The previous production peak occurred around 2011–2014, and the industry is now shifting from a downward phase to a new round of demand release. In addition, increasingly stringent environmental standards have prompted downstream enterprises to phase out old models, creating strong demand for five-axis CNC machine tools.
2. Tech Blockade Boosts Surge in Domestic Substitution
Developed countries have long regarded five-axis CNC machine tools as strategic equipment and imposed technical blockades and export controls. To mitigate supply chain risks and ensure the independent development of high-end manufacturing equipment, accelerating the localisation of five-axis CNC machine tools has become a national strategy and industry consensus, providing clear long-term development goals and market space for domestic suppliers.
3. Tech Breakthroughs Drive Cost Reduction and Application Expansion
With the improvement of independent R&D and large-scale mass production capabilities of precision functional components among domestic suppliers, the manufacturing cost of five-axis CNC machine tools keeps declining. Furthermore, the application of artificial intelligence and digital tools has enabled adaptive machining and predictive maintenance of five-axis CNC machine tools, further reducing customers’ usage costs and difficulties. The declining total cost of ownership and operational complexity will help accelerate penetration across more application areas.
4. Favorable Policies and Regulations
The Chinese government has introduced a series of policies to foster a sound environment for China’s five-axis CNC machine tool industry by promoting the localisation of core components and machine tool renewal and consumption.
In 2023, the National Development and Reform Commission, the Ministry of Industry and Information Technology and other authorities issued the Mechanical Industry Steady Growth Work Plan, proposing to build high-level supply-demand docking platforms, support industry associations in hosting exhibitions and forums to promote technical exchanges and international cooperation, and explicitly include projects such as “CNC systems and industrial software for high-end CNC machine tools” and “key components, accessories, tools and measuring instruments for high-end CNC machine tools” in the encouraged industries.
In March 2024, the State Administration for Market Regulation and six other departments jointly issued the Action Plan for Leveraging Standards to Drive Equipment Renewal and Consumer Goods Replacement, proposing to implement standards for large-scale, high-precision and high-complexity CNC machine tools and promote equipment upgrading, transformation and remanufacturing.
As a seasoned Industry Consultant, CIC offers services such as market sizing, competitive analysis, and enterprise value verification, etc., with global experience in advising "first-in-sector" IPOs in cutting-edge technology sectors. From from IPO preparation to listing hearings, CIC unearths the true intrinsic value of enterprises and translates it into actionable insights for successful capital market landing. Prior to TOPNC, CIC has supported leading enterprises in successful listings both domestically and overseas, including Yuejiang Technology, Han’s CNC, Leton Robot, etc.
CIC Reports are now available on Bloomberg and FactSet portals.
About CIC
CIC is a professional consulting firm offering tailored end-to-end support across the full investment and financing lifecycle. The firm boasts a world-leading track record in guiding landmark first-in-sector IPOs across global markets, alongside unrivaled reach and in-depth coverage capabilities across specialized niche market segments.
CIC helps enterprises refine scalable business models and craft compelling capital narratives to enable seamless access to global capital markets, while serving as a trusted due diligence partner to investment institutions. It delivers granular industry insights and direct access to subject matter experts, empowering clients to identify high-value opportunities and mitigate critical risks effectively.
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