Led by a founder with over 30 years of military industry experience, this company has obtained the only military flexible interconnection qualification in China and been shortlisted for the undersea space station project | Exclusive from 36Kr

Author: Ou Xue

Editor: Yuan Silai

Yingke learned that Xinhua Haitong (Xiamen) Information Technology Co., Ltd. (hereinafter referred to as "Xinhua Haitong") recently completed a Series A financing of 10 million yuan. We have summarized the information of this round of financing and several highlights of the company:

Financing Amount and Leading Investor

Financing Round: Series A

Financing Amount: 10 million RMB

Investors: Xiamen High - tech Venture Capital and Guoxin Guozheng Investment

Use of Funds: Mainly used for production line expansion and R & D investment

Basic Company Information

Establishment Time: March 2017

Registered Address: Xiamen

Technological Highlights: "Xinhua Haitong" focuses on the R & D of military flexible three - dimensional interconnection technology. It is the only domestic enterprise with military qualifications for the development of flexible three - dimensional interconnection circuits.

The company takes flexible three - dimensional interconnection circuits as the core and provides lightweight, highly integrated and reliable interconnection solutions to replace traditional cable interconnections. Its products feature long dimensions, high flexibility and multi - layer complex structures. Under the same performance, the weight and volume can be reduced by more than 40% and 50% respectively compared with traditional designs, improving reliability and being widely used in high - end equipment fields such as missile - borne, airborne and satellite - borne systems.

In contrast, most of its competitors started with rigid boards, while "Xinhua Haitong" is based on flexible boards and extends to rigid - flexible printed circuit boards. It focuses on products with special specifications, high multi - layers and large sizes, taking a differentiated route to avoid direct competition with traditional standardized products.

Market Size

The flexible three - dimensional interconnection technology is in its infancy in the military field. Currently, the overall market size is not large, but the growth potential is significant.

According to relevant research reports, from the perspective of market size, the application of flexible electronic technology in the military field will promote the process of national defense modernization. It is estimated that by 2030, the demand for flexible electronic equipment in the military field will continue to grow, especially in the applications of drones, unmanned combat platforms, stealth equipment, aerospace, etc. It is predicted that the military market will grow at a compound annual growth rate of more than 15%, and the market size will reach tens of billions of yuan by 2030.

Company Performance

The revenue of "Xinhua Haitong" has rapidly increased from one million yuan in 2021 to more than 20 million yuan in 2024, and it is expected to grow by 10 - 20% in 2025. The company's products have entered multiple core research institutes under six major military groups, including China Aerospace Science and Technology Corporation, China Aerospace Science and Industry Corporation, China Electronics Technology Group Corporation, China North Industries Group Corporation, Aviation Industry Corporation of China, and China State Shipbuilding Corporation.

Currently, the company is in a state of small profit because it continuously invests 15% - 20% of its annual revenue in R & D. With the expansion of the production line promoted by this round of financing, the annual output value of the new production line is expected to exceed 300 million yuan, laying a foundation for future large - scale growth.

Team Background

The company's founder has more than 30 years of in - depth industry experience. He graduated from the University of Electronic Science and Technology of China with a bachelor's degree and from the National University of Defense Technology with a master's degree. He has worked in core units such as the Equipment Development Department and Tianjin 712 Institute. The core team members all have more than 15 years of industry experience and have the ability from the front - end software and hardware development, principle design, structural design, circuit wiring, simulation to manufacturing and testing of products, as well as the ability for integrated development of components and modules. Most of the members come from Hongxin Electronics, the company's participating shareholder and the first domestic company in the flexible electronics field.

Thoughts of the Deputy General Manager of Operations

Yingke: What is the current development stage of flexible three - dimensional interconnection technology in the military industry? What are the future market trends?

Qin Dequn: Currently, the domestic industry is in the initial climbing stage from "usable" to "easy - to - use". Under the trend of weight reduction and integration in high - end equipment, the replacement of traditional cables by flexible interconnection technology has become a clear direction. Although the proportion of rigid - flexible printed circuit boards in the entire circuit board market is not high at present, we judge that its growth rate will be much higher than the industry average, and it is on the verge of an explosion.

Yingke: Will the company's future business boundaries expand beyond the military field?

Qin Dequn: The military field will always be our main battlefield and foundation. After the new production line releases its production capacity, we will selectively enter some special civilian fields, such as high - end industrial control and medical equipment. However, our core strategy remains unchanged: we only produce differentiated products and only enter niche markets that require large - size, special - structure and high - reliability solutions to avoid competition in the general red - ocean market.

Yingke: Does the company have any plans for further extension in terms of technology or business?

Qin Dequn: We will not stop at making circuit boards. Based on the flexible three - dimensional circuit as the core carrier, we are developing the ability of "module integration". This means that we will further integrate surface - mount components and assemblies on our self - developed flexible circuits and directly provide customers with more complete signal processing, digital processing and other module components, enhancing the added value of products and the ability to provide system - level solutions.

Thoughts of the Investors

Xiamen High - tech Venture Capital has long been focusing on the hard - technology track and is committed to discovering and investing in leading enterprises in niche industries. Guoxin Guozheng Investment adheres to the investment orientation of "investing in early - stage, small - scale and hard - technology companies" and focuses on supporting science and technology innovation enterprises that meet national strategies. This time, it invested in Xinhua Haitong through the Jukexinghang Fund jointly managed with Haichuangtou, a subsidiary of Xiamen Science and Technology Group. The military - grade flexible FPC of Xinhua Haitong, as a new direction in the mature industry, has a solid industrial chain foundation and broad market prospects. Most of the core team members of Xinhua Haitong come from Hongxin Electronics, the leading enterprise in the flexible printed circuit board field. They have rich experience in FPC R & D, production and market expansion, and have dual practical abilities in both the FPC and military fields, laying a solid talent foundation for the company's development. The company has mastered multiple core capabilities at the technical level, with the ability to design and produce ultra - high - layer and ultra - long - size flexible printed circuit boards, and has accumulated solid technical experience in high - reliability design, complex structure implementation and adaptability to harsh environments. Relying on these capabilities, the company has formed a comprehensive product system covering high - layer and high - density flexible boards, ultra - long - size flexible boards and high - stability rigid - flexible printed circuit boards. Xiamen High - tech Venture Capital and Guoxin Guozheng Investment hope that through this investment, they can help Xinhua Haitong achieve further growth and development and jointly promote the upgrading and iteration of the military industry.