Honor completes IPO counseling, nearing its China’s stock market debut

Honor has completed the IPO counseling hurdle, nearing its entry in China’s stock market. The company has been preparing for this moment since November 2023. It has finally cleared one more step and inched closer to its debut in the A shares listing.

On Thursday (June 26), Honor filed documents with securities regulators and completed its IPO counseling recordation to step into China’s stock market race.

IPO, or Initial Public Offering, refers to a process in which private firms sell their shares to the public for the first time on a stock exchange. It is also known as a stock launch.

The event also means that a company has transitioned itself from private to public ownership and helps it to raise significant capital for the growth of its funding.

According to the details, Honor has completed the formal filing of pre-IPO guidance with the China Securities Regulatory Commission (CSRC). It is a significant step that helps the companies that want to list their ‘mainland shares’ or A shares.

Interestingly, Honor’s IPO counseling completion news has emerged at a time when the Chinese stock market is recovering. The A share market got sluggish start at the outset of this year, but is finally coming back to its original pace.

Dick Kay, the national leader of the capital market services group at Deloitte, said:

“We are pleased to see more activity in the A-share market in Q2 2025. This demonstrates the success of regulators’ efforts to restore market confidence and improve the quality of IPO candidates and issuers.”

Kay also predicted that the stock exchange may rise to 37.1 billion yuan in H1 2025 (32.5 billion yuan last year).

Honor’s IPO process and capital market strategy are being handled by Wu Hui, a Communist Party member. The company announced its IPO plan in 2023. The company made a capital of 3.24 billion yuan in 2020 after being cut off from Huawei.

Over time, the company launched innovative products in the market and became the fourth-largest smartphone maker in China. On the other hand, Huawei remains a private firm. It would be worth seeing if the firm takes this path in the future.

Honor IPO counseling completion paper (Image Credits: Honor)

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