上市捷报丨沙利文助力极兔速递环球有限公司成功赴港上市(1519.HK)

JTR Express Global Co., Ltd. (Stock Code:1519.HK) on2023year10month27The company successfully logged onto the Hong Kong Capital Market Main Board on the same day. It is a global leading comprehensive logistics service provider, mainly engaged in express delivery services, providing customers with full-scenario logistics solutions through intelligent infrastructure and digital logistics networks. The company is the number one express delivery operator in Southeast Asia, one of the fastest-growing among China's major express delivery operators, and continues to expand its business into Latin America and the Middle East, with service coverage13A country, including the world's largest and fastest-growing emerging express delivery market. Frost & SullivanFrost & Sullivan,Frost & Sullivan, referred to below as the 'Frost & Sullivan team', provides exclusive industry advisory services for the listing of JET Express Global Co., Ltd. We hereby extend our warmest congratulations on its successful listing.

Jrat Express Global Limited (hereinafter referred to as 'Jrat Express') was established on2023year10month27The company plans to go public on the 1st of July3.266100 million shares, of which90%For international distribution,10%For sale in Hong Kong, additionally15%Excess rights issue. Issue price per share12.00HK$, with the net amount of raised funds being approximately35.28HK$10 billion.

During the process of listing in Hong Kong this time, Frost & Sullivan mainly undertook the following tasks: helping the issuer accurately and objectively understand its positioning in the target market, using objective market data to discover, support, and highlight the issuer's competitive advantages, assisting the issuer, investment banks, and other intermediaries in completing the relevant parts of the prospectus (such as overview, competitive advantages and strategy, industry overview, business, and other important chapters), helping the issuer complete communication with the Hong Kong Stock Exchange and investors, assisting investors in quickly understanding the market ecosystem and competitive landscape, and assisting the issuer in completing feedback on various industry-related issues from the Hong Kong Stock Exchange.

Investment highlights

The company is a global express delivery operator leading in Southeast Asia;

The company serves the world's largest and fastest-growing emerging express delivery markets;

Empowering the e-commerce market, enabling connection with new markets and consumers;

The company operates a highly scalable regional proxy model;

The company has an independent R&D technology system, continuously focusing on innovation to drive global operations;

The company provides high-quality services to meet regional customer and market demands;

The company has an entrepreneurial spirit and a management team with rich experience, as well as regional agents.

According to a report by Frost & Sullivan, by2022Annual package volume, Company:

Ranked first among Southeast Asian express delivery operators;

Ranked sixth among Chinese express delivery operators;

at2020Year-end2022Annual Compound Annual Growth Rate112.3%;

at2020Fourth quarter of the year to2022The fourth quarter of the year was the period when one of China's major express delivery operators grew the fastest.

Overview of Southeast Asian Express Market

The express delivery industry in Southeast Asia is in its early stages of development and is rapidly expanding. Driven by continuous growth in per capita income, rapid internet penetration, and the development of e-commerce, the volume of parcels in the Southeast Asian express delivery market has grown from2018year3,257.3Increased from one million to2022year11,148.4One million pieces, with a compound annual growth rate of36.0%, and it is expected that the volume of parcels will be from2023year13,160.3Increased from one million to2027year23,450.2One million pieces, with a compound annual growth rate of15.5%.

Source: Frost & Sullivan report

Competitive landscape of the Southeast Asian express delivery market

The express delivery market in Southeast Asia is relatively fragmented, according to a report by Frost & Sullivan.2022In the year, there were approximately2,000Domestic express delivery operators, with only the top five industry competitors in Southeast Asia accounting for47.9%Market share, while the market concentration of industry competitors ranked in the top five in China exceeds70%In addition, in the past few years, JRT has witnessed several national-level industry competitors in Southeast Asia exiting due to unfavorable competition. Therefore, the Southeast Asian market presents tremendous integration potential.

Source: Frost & Sullivan report

Overview of China's Express Delivery Market

press2022The volume of parcels in China, the largest express delivery market in the world, is measured annually. The Chinese express delivery market has seen a significant increase in volume over the past five years (2018Year-end2022(year) Compound annual growth rate21.5%(Growing by volume) and the market is expected to be in2023Year-end2027The year will see compound annual growth rate10.7%Growth. It is expected that China's express delivery market will be2023year1,251Hundreds of millions of packages increased to2027year1,880100 million parcels.

Source: State Post Bureau, Frost & Sullivan report

The competitive landscape of the China express delivery market

2022In [year], the express delivery industry in China was relatively concentrated, with approximately80Home express delivery operators, with the top five industry competitors accounting for approximately76.6%Yu2020year3In January, Polar Express Global entered the Chinese express delivery market.

Source: Frost & Sullivan report

Driving factors and opportunities in the Chinese express delivery market

· Strong demand for e-commerce

The rapid development of e-commerce business is the most important driving factor for the express delivery industry, as most express parcel demands come from e-commerce.

· Government policies are favorable

To promote the healthy and orderly development of the express delivery industry and create a favorable business environment, the government has issued a number of policies and reform measures to modernize the express delivery industry, encourage innovation, strengthen brand building for express delivery and logistics enterprises, and stabilize express delivery pricing. The government's preferential policies and guiding principles include the '14th Five-Year Plan' for Modern Logistics Development (aiming to develop and improve domestic and cross-border logistics networks), the 'Outline of the Strategic Plan for Expanding Domestic Demand'2022 - 2035(2023)》(aiming to improve the logistics infrastructure network, coordinate national logistics hubs, and enhance cross-regional logistics service capabilities)) and the 'Special Action Plan for the High-quality Development of Commercial Logistics (2021 - 2025(annual)》(aiming to build a smooth, efficient and collaborative modern business and logistics system).

· Application of advanced technologies

The successful application of innovative technologies in the express delivery industry has enabled express delivery operators to further improve operational efficiency, shorten delivery times, and optimize the logistics supply chain.

· Improve infrastructure and facilities

The improvement of national transportation infrastructure has laid a solid foundation for the express delivery industry. In addition, in the coming years5GNew infrastructure such as new energy vehicles and related projects, which are key development priorities, will further empower the express delivery industry, achieving technological innovation and improving services.

· Emerging cross-border e-commerce and express delivery demand

Cross-border e-commerce is another growth opportunity for the express delivery industry in Mainland China. As stated in the 14th Five-Year Plan, the government encourages the development of cross-border e-commerce, extending China's mature e-commerce and logistics experiences overseas. This enables domestic producers and suppliers to directly connect with overseas consumers and sell products produced domestically to them. It is expected that2023Year-end2027In [X] year, cross-border small parcel revenue will be at21.6%The compound annual growth rate increased to2027It will reach about920billion dollars.

View the prospectus

Frost & Sullivan has extensive research experience in the transportation industry and has assisted well-known companies in successfully listing on capital markets. Successful listings include: LeCab Logistics (2490.HK), Jia YudaNASDAQ:JYD),CBL（NASDAQ:BANL), InterContinental Shipping Lines2409.HK), Deutsche Bank Worldwide2418.HK), Kuaidao Taxi2246.HK), Canggang Railway2169.HK), Yanguang PearlYGMZ.NASDAQ)Asia Express8620.HK),InfinityL&T（1442.HK), Xiangxing International8157.HK), CSSC Leasing3877.HK), Chengdu Expressway1785.HK), Huazhi International2258.HK), Wanlida8482.HK), Qilu Expressway1576.HK), Asia Industry1737.HK), JunGao Holdings8035.HK).