Chinese electronics maker Delton Technology (Guangzhou) recently made headlines with its listing on the Shenzhen Stock Exchange, creating the country’s latest billionaire. Chairman Xiao Hongxing, 57, saw his indirect shareholdings in Delton rise to 8.9 billion yuan or $1.2 billion. Founded in 2002, the company specializes in printed circuit boards and counts U.S. computer brand Dell among its customers.
Following its listing, Delton’s stock closed at 50.44 yuan on Wednesday, the last day of trading before the Tomb Sweeping Day holiday. The IPO price for Delton was 17.43 yuan, indicating a significant increase in value. Delton’s success comes at a time when China’s overall billionaire presence is declining due to geopolitical tensions and slower economic growth. The number of Chinese billionaires on the 2024 Forbes Billionaires List dropped to 406 from 495 the previous year and a record 626 in 2021.
Despite the challenges facing China’s economy and stock market, Delton has continued to grow and expand. With over 2,600 employees, the company saw sales increase by 17% to 3.8 billion yuan last year, while net profit rose by 48% to 414 million yuan. This success is a testament to Xiao’s leadership and the company’s focus on quality products and customer satisfaction. Xiao himself is a graduate of South China University of Technology, showcasing his expertise in the technology sector.
Delton’s rise to success highlights the resilience and innovation of Chinese companies in the face of global challenges. While China’s benchmark stock index, the CSI 300, has experienced fluctuations in the past year, with a 13% decline overall, there have been positive gains in 2024. Delton’s performance in the market reflects the company’s commitment to delivering value to its customers and shareholders, setting a positive example for other Chinese companies in the tech sector.
As Delton continues to grow and expand its operations, Xiao Hongxing’s billionaire status solidifies his position as a key player in China’s technology industry. With a strong focus on quality products and customer satisfaction, Delton is well-positioned to navigate the challenges of the global market and emerge as a leader in the electronics industry. As China’s billionaire landscape evolves, Delton’s success serves as a shining example of the country’s entrepreneurial spirit and resilience in the face of adversity.
