More and more Chinese lighting companies are joining the long Initial Public Offering (IPO) approval wait list despite Chinese government’s slow progress of the applications.

Tospo Lighting, a member of Hengdian Group, is another lighting firm to join the list. The company’s submitted IPO application is currently under review, according to the latest IPO examination announcement released by China Securities Regulatory Commission.

The Commission had received 647 IPO applications, where only 31 applicants passed the examination as of Dec. 18, 2014. Among the 616 unpassed applications, 592 applicants are under review and 24 were rejected.

LED lighting companies such as Opple, Light Engine and Sengled and LED companies such as LightKing and Inventronics’s IPO applications were processed, according to the announcement. Although, MLS application was sent to the committee earlier, there were no further developments.

Fewer LED companies applied for IPO compared to 2011 or 2012, as a result, the IPO fever abated. Absen finally started issuing public shares on July 24, 2014 after its IPO was approved by the committee, while Ocean’s King Lighting begun issuing public shares on Oct. 16, 2014, after passing the examination on September 19.

Lighting companies that are currently listed on the China bourse include NVC Lighting, Yankon, Foshan Lighting, Cnlight, Kingsun, Ocean’s King Lighting and others.

“LED lighting has higher technology and investment requirements compared to traditional lighting, and market competition is more intense than ever,” said LEDinside Senior Analyst Figo Wang. “Using the stock market to obtain the capital needed to stay competitive is critical to company’s future success. While major lighting companies have successfully acquired massive financing through IPOs and lower financing costs, other key players that do not want to be left behind are also waiting in anticipation for IPO applications to pass.”

Tospo Lighting, a well-known lighting brand established in 1999, launched an IPO in hopes to acquire capital market support. The company initially issued 60 million shares, to raise RMB 1.04 billion (US $167.65 million) for “Raising annual LED lighting products production capacity to 110 million PCS/year”, “LED outdoor lighting fixture production upgrade project to 1.16 million PCS”, “Establishment of lighting R&D and optoelectronic experiment center” and as adding to company liquidity, according to the company’s prospectus released on December 19.

Tospo Lighting revenue reached RMB 1.72 billion in 2011, the company returned RMB 45.10 million net profit to parent company. Revenue for 2012 recorded RMB 1.79 billion, up 4.43% YoY, net profit was RMB 79.57 million that year soared 76.42% YoY. Recorded revenue for 2013 grew 37.07% YoY to RMB 2.46 billion, and net profit shot up 122. 21% YoY to RMB 176.82 million. Recorded revenue for 1H14 was RMB 1.31 billion, and net profit was RMB 161.46 million.

Tospo Lighting has been in the LED market since 2011. The company sells a range of energy-saving residential and commercial lighting products, from LED lighting to LED bulbs, LED indoor and outdoor lighting fixtures and lighting electronics.