Intelligent Logistics Robot Track Leader Kaleyosel Technology (2729.HK) Launches IPO with 2.2 Billion Orders in Hand

On March 16, 2026, Zhejiang Kails Technology Group Co., Ltd. (hereinafter referred to as “Kails Technology”) officially launched its global offering.

According to the prospectus, the company is issuing 36,798,000 H-shares globally, including 3,679,800 H-shares in Hong Kong and 33,118,200 H-shares internationally. The maximum offer price is HKD 20.40 per share, with the pricing date expected to be March 20, 2026. H-shares are expected to begin trading on the Stock Exchange of Hong Kong on March 24, 2026.

The company’s shareholder lineup is quite impressive, including well-known industry and financial investors such as SF Holding, China International Capital Corporation (CICC), China Merchants Group, and Jiuzhoutong Pharmaceutical.

1. Industry Demand and Policy Support Align, Industry Enters Golden Era

High land and labor costs, rising operational complexity, and the pursuit of maximum efficiency have created a rigid demand for intelligent logistics within facilities. Meanwhile, advances in AI, digital twins, sensors, and core algorithms are continuously lowering deployment barriers and enhancing robot adaptability.

This window of explosive endogenous industry demand coincides with strong policy support.

In the first year of the “14th Five-Year Plan,” top-level national design continues to emphasize intelligent upgrades. The 2026 government work report explicitly states the goal to cultivate future industries such as new energy, quantum technology, embodied intelligence, brain-computer interfaces, and 6G. It also calls for expanding intelligent manufacturing, building new smart factories, and developing smart supply chains.

In addition to the two sessions, national initiatives like the “Robot+” application action plan and the “14th Five-Year Plan” for modern logistics development, along with local deployment of “unmanned factories,” have created a favorable policy environment for the industry.

Driven by both demand and policy, the industry is entering a high-speed growth golden era.

According to a report by Frost & Sullivan, the global smart on-site logistics market is expected to grow from RMB 522.8 billion in 2025 to RMB 991.9 billion in 2030, with a CAGR of 13.7%. China, as a key market, will grow from RMB 175.9 billion in 2024 to RMB 413.7 billion in 2030, with a CAGR of 15.1%.

Despite the broad market and numerous participants, industry concentration remains relatively dispersed, but leading companies are beginning to take shape.

Frost & Sullivan data shows that, based on 2024 revenue, Kails Technology ranks among China’s top five integrated smart on-site logistics robot companies. Its position is even more prominent in key segments: in 2024, its Very Narrow Aisle Automated Mobile Robots (VNAAMR) ranked first in China; its four-way shuttles ranked third in shipment volume within China.

This leading market position results from years of industry deep cultivation and building a competitive moat.

Building on this, Kails Technology has developed a complete product matrix around three core on-site logistics functions: access, sorting, and handling. This includes Multi-Shuttle Robots (MSR), Autonomous Mobile Robots (AMR), and Conveying & Sorting Robots (CSR).

More importantly, the company has independently developed the “brain” that drives these hardware systems, including advanced software ecosystems such as Warehouse Management System (WMS), Warehouse Control System (WCS), and Robot Control System (RCS). The deep integration of hardware and software enables the company to offer customized solutions through a systematic six-stage process, from deploying single-function robots to multi-functional integrated systems.

It is worth noting that some investors view robot companies as hardware firms and worry about price wars; others equate them with Artificial General Intelligence (AGI) and fear bubbles.

Indeed, the intelligent logistics robot industry presents a “barbell structure”: one end seen as easily falling into price wars with hardware devices, and the other as top-level AI with difficult implementation but full of imagination.

Kails Technology’s core value lies in precisely positioning the “middle platform,” connecting both ends. It offers integrated value based on自主可控 (independent and controllable) advanced hardware, combined with industry-deep understanding software and solutions. This approach avoids the internal competition typical of pure hardware companies and differs from the uncommercialized pure AI concepts.

Under this model, customer stickiness is high, and pricing power is more stable.

2. Abundant Orders, Structural Optimization, Narrowing Losses, Clearer Profitability Path

If the vast market and leading ecosystem outline the company’s growth blueprint, then quantifiable operational and financial data provide the most direct validation of this blueprint’s feasibility.

As of September 30, 2025, Kails Technology had served 861 clients across 29 industries, including pharmaceuticals, 3C electronics, new energy, and automotive sectors, with over 1,600 projects implemented. Its client list includes several industry leaders and Fortune 500 companies; for example, in 2024, the company provided services to four of China’s top ten pharmaceutical distribution companies. This cross-industry success case reuse demonstrates the versatility and reliability of its solutions.

Meanwhile, the company’s global expansion has begun to bear fruit. Its business now covers 19 countries and regions worldwide. As of December 31, 2025, there are 46 ongoing overseas projects.

Financial data improvements further reflect the company’s enhanced internal operational quality.

In the first nine months of 2025, revenue reached RMB 552 million, a 60.3% increase from RMB 344 million in the same period of 2024. The revenue structure is shifting toward higher-margin single-function robot deployment, which accounted for 24.8% of total revenue in the first nine months of 2025, with a gross margin of 29.6%.

More critically, the adjusted net loss (non-IFRS) shows a significant and continuous narrowing trend, decreasing to RMB 12.63 million in 2025, approaching breakeven. This metric excludes non-cash and one-time items such as equity incentives and listing expenses, serving as an important indicator for the capital market to assess high-growth tech companies’ core profitability and trends. This change clearly indicates that the company’s strategic investments in technology, products, and solutions have entered a harvest phase. As revenue scales rapidly, economies of scale are beginning to manifest, and operating leverage has turned positive, meaning each additional yuan of revenue is converted into profit more efficiently.

Additionally, abundant on-hand orders provide high visibility for future growth. As of December 31, 2025, the total value of pending delivery robots and systems is about RMB 2.2 billion, expected to be recognized over the next three years. This offers high confidence in the company’s short- to medium-term revenue growth.

According to the announcement, the net proceeds from this listing will mainly be used for technological upgrades and new product R&D of core robots, foundational technologies (such as digital twins, large models, AI robotics), software development, capacity expansion, and executing global market expansion strategies.

With the listing completed, Kails Technology, empowered by capital, is expected to accelerate its globalization and technological iteration, opening a new chapter of value growth in a high-certainty, high-growth golden track.