• HKC has become the 10th display panel maker to go public, raising CNY 7.385 billion.
• To secure new growth engines and qualify for stricter government subsidies, the company is actively evaluating OLED technologies.
• HKC is introducing Gen.6 LTPS LCD while reviewing FMM OLED and WOLED to boost long-term competitiveness.

Display panel maker HKC conducted a massive listing worth CNY 7.385 billion (about $1.086 billion) at the Shenzhen Stock Exchange on June 26, 2026. The listings of Chinese panel manufacturers have followed the order of Truly, Tianma, Rainbow (CHOT), BOE, TCL, Visionox, IVO, Everdisplay Optotronics (EDO) and Seeya, with HKC becoming the tenth to be listed.

HKC owns four LCD panel factories with a Gen.8.6 (2250x2600 mm) glass size and primarily produces 85”, 86”, 100” and 116” panels. Before the IPO, the company reviewed an investment in Gen.9.x (3370x1940 mm, also referred to as Gen.8.9 by some) LCDs. For Gen.9.x substrate sizes, 85”x3 and 75”x4 panels are possible. Since the 85” panels offer particularly better glass utilization, HKC, which lacks a Gen.10.5 (3370x2940mm) panel factory, had hoped to compete with BOE and CSOT in this ultra-large size. However, the plan ultimately fell through as there was no competitive edge due to a lack of significant difference compared to the investment costs for Gen.10.5.

So, what strategy will HKC pursue after the IPO?

Relying solely on the existing Gen.8.6 LCDs will make it difficult for HKC to receive government subsidies due to tightened subsidy management. Therefore, WOLED is one of the options under consideration. Applying for subsidies under the pretext of WOLED investment and then adding LCD production could be a viable strategy.

Although HKC acquired Royole, the company that introduced the first foldable display, it still lacks mass production experience in OLED, and there appear to be many hurdles to overcome, such as securing OLED personnel. Besides, to enter the OLED sectors for NBPCs, tablets and automotives, the company is considering the Gen.6 full-size fine metal mask (FMM) OLED method. Typically, www.counterpointresearch.com © Counterpoint Research half-size FMMs are used for Gen.6 (1500x1850 mm). Since the Gen.6 full-size offers a more favorable yield rate compared to the half-size one and utilizes a different approach than existing methods, it is expected to be advantageous for receiving subsidies, even excluding technical difficulties. SDC A6 and BOE B16, which are already in mass production, are currently depositing using half-size Gen.8.7 (2290x2620 mm). Although the difference in deposition metal mask size between Gen.6 full-size and Gen.8.7 half-size is not significant, it appears to be a considerably difficult challenge for HKC, which lacks OLED experience. Ultimately, investment via subsidies can only follow after presenting the new technology and undergoing an experimental phase. While the timing of the investment is still undecided, it is assessed that the company is turning its attention to OLED as LCDs alone lack the growth momentum.

Expected HKC Display Investment Scenario

Adopted A-E Probability Schedule                                                
A - issued Pos;                                                 
B - POs to be issued in <1 year;                                    
C - POs to be issued in >1 year, but high probability (>50%);                                  
D - POs to be issued in >1 year, but lower probability (25% - 50%);                        
E - <25% Probability;
T is Touch on TFE, YOCTA, O is LTPO, M is module, FC is Flexible Conversion, C is COE;

Meanwhile, HKC has invested in relocating existing facilities and installing new equipment at the JDI Mobara Gen.6 LTPS LCD panel factory in Japan. The facility, named H7 Phase 1 in Mianyang, held an inauguration ceremony on July 15. Based on its existing Gen.8.6 LCDs, HKC is continuously expanding its product portfolio by challenging itself with various panel sizes and new technologies. It remains to be seen whether this strategy will lead to strengthened market competitiveness and enable the company to maintain its position as the No. 3 panel manufacturer in China.