TMTPOST -- Trust Chem, a leading Chinese organic pigment manufacturer, made a stunning debut on the Shenzhen Stock Exchange's main board on Tuesday.

Its shares skyrocketed 298.44% to close at 51 yuan, up from an issue price of 12.8 yuan.

Founded in 1996, the company has become China's top organic pigment exporter for nine consecutive years, with a 9.86% share of China’s exports of the kind in 2023.

With over 450 pigment products serving more than 70 countries, Trust Chem is a key supplier to global players like DIC, Flint Group, and Sherwin-Williams.

Trust Chem's success comes as global pigment manufacturing increasingly shifts to Asia. China remains the world's largest producer and exporter of organic pigments, supported by government policies promoting eco-friendly dyes and pigments as a national high-tech priority.

Trust Chem is capitalizing on this trend by enhancing its independent production capacity, especially through its smart factory projects in Liaoning. The company expects the new facilities to begin releasing capacity by mid-2024, improving efficiency, customization, and environmental compliance.

Trust Chem plans to raise 265 million yuan, with 165 million yuan earmarked for an R&D center and headquarters project, aimed at developing safer, greener pigments. This aligns with tightening global environmental standards and growing demand for high-performance, sustainable pigments.

In 2023, Trust Chem posted 1.06 billion yuan in revenue and a net profit of 83.43 million yuan, leading peers in profitability. For 2024, the company forecasts a 64.8% year-on-year increase in domestic revenue, backed by rising orders and product upgrades.

As the industry undergoes structural upgrades, Trust Chem's technology-driven strategy positions it to capture growth in both domestic and global markets.

(Note: 1 USD equals 7.25 yuan)