GEM, a leading enterprise in the resource recycling sector, has submitted an application to the Hong Kong Stock Exchange for a proposed IPO. JPMorgan, CITIC Securities, and China Securities International are acting as joint sponsors.
The proposed listing comes against a backdrop of intensifying resource scarcity and growing ecological pressures, factors that are pushing recycling and recovery to the forefront of global sustainability strategies. The recycling industry is increasingly viewed as a central pillar in efforts to secure critical resources and meet environmental targets.
Global footprint and integrated business model
GEM has built its reputation as a pioneer in recycling critical metals and lithium-ion batteries, and as a leading manufacturer of new energy materials. Its dual business model—combining urban mining with new energy materials manufacturing—is designed to reduce pollution, regenerate resources, and create a closed-loop approach to material use. In doing so, the company aligns its growth with international carbon reduction and neutrality goals while advancing the principles of green development.
The company has expanded its international reach, building a cost-competitive global supply chain network that supports both resource security and market growth. Among its milestones, GEM was one of the first Chinese new energy material enterprises to establish large-scale production in Indonesia. There, it has developed a full industrial chain covering laterite nickel ore, mixed hydroxide precipitate (MHP), nickel sulphate crystals, electrolytic nickel, ternary precursors, and cathode materials.
By adapting its China-based integrated model to Indonesia’s local resource conditions, market needs, and policy environment, GEM has reinforced production efficiency while laying the foundation for broader global competitiveness. As of June 30, the company operated 13 production bases across China, Indonesia, and South Africa. In addition, it holds equity interests in production facilities in China, Indonesia, and South Korea.
Use of proceeds and strategic initiatives
GEM intends to use proceeds from the proposed IPO to strengthen its business in several key areas:
- Expanding production capacity at its Jingmen base, with a focus on critical metals and lithium-ion battery recycling.
- Enhancing global R&D and technological innovation capabilities to drive advances in recycling technologies and new energy materials.
- Building out international sales and marketing networks to support its global customer base.
Beyond these priorities, the company plans to pursue strategic investments, mergers, and acquisitions aimed at optimizing resources, diversifying its business, and creating new profit drivers. A portion of the proceeds will also be reserved for working capital and general corporate purposes to ensure steady operational support.
These initiatives are expected to expand GEM’s production capabilities to meet accelerating global demand for new energy materials, while consolidating its leadership in resource recycling and advanced battery R&D. By extending its sales reach internationally, GEM also aims to strengthen its brand influence and capture additional market share, providing momentum for long-term global growth.
About GEM
Founded in 2001, GEM is a global leader in the circular economy and new energy materials. Its operations span the recycling of end-of-life batteries, electronic waste, and vehicles, as well as the production of cathode and precursor materials for lithium-based batteries. The company generates more than RMB 33 billion (USD 4.6 billion) in annual output and, as of the end of 2023, has applied for 3,767 patents, with 1,755 globally authorized and valid.
GEM is dual-listed on the Shenzhen Stock Exchange and the SIX Swiss Exchange, and it is committed to advancing sustainable, low-carbon development while building responsible and resilient global supply chains.
This press release was published in partnership with GEM.