April 16, 2026–Sigenergy (6656.HK) officially listed on Hong Kong Stock Exchange today, marking the 55th public company in TTGG Ventures's portfolio and another milestone in our deep commitment to value investing in the new energy sector.

TTGG Ventures invested in Sigenergy in early 2024 at a valuation of RMB 4 billion.We are delighted to see that just two years later, the company has not only successfully accessed the capital markets but also opened its first trading day with a market capitalization exceeding HKD 150 billion.

This remarkable achievement comes only four years after the company's founding. In that short span, Sigenergy has delivered one of the most extraordinary growth stories in China's new energy industry:

· Founded in 2022, with first-year revenue of RMB 58 million in 2023

· Revenue surged to RMB 9 billion in 2025 – a 150x increase in two years

· Gross margin improved from 31.3% to 50.1%, with adjusted net profit reaching RMB 3.235 billion, leading the industry in profitability

· Ranked No.1 globally in the stackable distributed integrated solar-storage system market with a 28.6% share (Frost & Sullivan)

As an early investor, one question we have been asked repeatedly is this: why did TTGG Ventures back a young company like Sigenergy at a time when the energy storage sector was broadly out of favor?

The answer lies in our understanding of the industry, our long-term research, and our conviction in enduring value.

01 Planting Seeds in Winter: A Contrarian Bet

From 2023 to early 2024, the global residential energy storage market was going through a difficult period. Following the demand surge triggered by the Russia-Ukraine conflict, the sector entered a sharp correction. Core overseas markets, especially in Europe, saw steep shipment declines, inventory overhang, and heavy pressure on both revenue and profit across the industry.

At that moment, investing in a startup that had been founded only a year earlier and had not yet achieved large-scale product deployment looked, to many, like a highly contrarian bet.

For us, however, the decision was grounded in two long-held convictions.

First, we have consistently believed that global demand for affordable, reliable, and clean electricity is part of an irreversible long-term trend. Periods of industry correction do not change that direction; instead, they often create the best window for truly competitive companies to emerge.

Second, we have been systematically investing across the new energy value chain for more than a decade. That deep industry immersion has strengthened our ability to identify outstanding teams even in turbulent market conditions.

Through extensive due diligence, we saw clear signals in Sigenergy: a differentiated technology roadmap, outstanding product definition capabilities, strong supply chain execution, and a high level of commercial credibility. Its debut at the Munich exhibition in June 2023 further reinforced our view that this was a team with the potential to become a global leader in energy storage.

Our judgment was fully vindicated. In 2024, when industry-wide shipments fell by over 30%, Sige Energy achieved market leadership in Australia, Ireland, South Africa, and many other countries, outpacing established incumbents through superior product performance, channel strength, and brand recognition.

So, what kind of people did we invest?

02 From Huawei to Sigenergy: A Mission-Driven Venture

At the heart of Sigenergy is its founder, Xu Yingtong. While his name may be less known outside the photovoltaic industry, he is a highly respected figure within the sector.

Xu spent 23 years at Huawei, starting in wireless R&D before founding and leading Huawei Smart PV Business to global market leadership. He later served as President of Huawei Ascend Computing Business. His career spans the entire evolution of China's energy industry from follower to global leader, giving him unparalleled technical expertise, industry insight, and global market execution experience across communications, energy, and AI computing.

Xu is widely recognized for his sharp technical vision and relentless execution. Even competitors speak highly of his capabilities and integrity.

When asked why he founded Sigenergy at the peak of his career, Xu explained that he saw an even greater opportunity in the energy transition. He believes the future of the global economy hinges on transforming how we produce and consume energy, and that the convergence of AI and new energy holds the key to unlocking this potential.

"Energy systems require certainty, while AI excels at solving complex probabilistic problems," Xu said. "Combining the two is the only way to address the extreme complexity of coordinating solar, storage, and wind power."

This is far from a one-man show. Sigenergy's core executive team brings over 10 years of deep experience in the solar and storage industry, with a proven track record of R&D excellence, operational rigor, and global expansion. All left senior positions and stable careers at leading companies to join this venture.

Gong Jianyong, Sigenergy's Chief Operating Officer, recalled a conversation with Xu that convinced him to join: "He told me about solar farms in the Gobi Desert. Rows of panels block the sandstorms, the water used to clean them nourishes the desert, grass grows, sheep graze, and the sheep keep the grass from shading the panels. It's a perfect green cycle that turns barren land into something alive.

"I realized this is work that truly benefits humanity. My children are grown, and money isn't the priority anymore. I wanted to spend the rest of my career doing something meaningful with Xu."

This shared vision and purpose beyond profit have been the foundation of Sigenergy's rapid rise.

03 Seeing Opportunity Where Others Saw Competition

Sigenergy's growth reflects a sharp understanding of the global residential energy storage market.

Residential storage first gained traction in regions with relatively high electricity prices, including Europe, the United States, Australia, and Japan. Europe remains the world's largest residential storage market, and German-speaking countries alone account for a substantial share of regional demand.

Yet even after more than a decade of development, overall penetration remains relatively low. In our view, this leaves significant room for expansion over the next decade and makes residential storage one of the few segments within new energy that still combines strong growth potential with a relatively high degree of certainty.

At the same time, the market's structural tensions have become increasingly clear. As more companies entered the sector, competition intensified, and many players remained focused on traditional split-system products and price-based competition. Margins across the industry came under growing pressure.

Sigenergy saw the issue differently. In its view, the real challenge was not simple overcapacity, but a mismatch between what the market was supplying and what customers actually needed.

In core markets such as Europe and Australia, end users care less about the lowest price and more about quality, safety, and user experience. Yet many products in the market continued to suffer from fragmented design, high installation and maintenance costs, limited compatibility, and concerns around safety and stability.

From the day one, Sigenergy chose to focus on integrated, modular, all-in-one solar-storage systems, using AI-enabled innovation to solve some of the sector's most persistent pain points. That decision positioned the company well for the industry's shift from rapid expansion to higher-quality growth.

04 Building the Moat

Sigenergy entered the market at a subtle but important moment in the cycle. While much of the industry was still dealing with the inventory burden of the previous upcycle, the company was able to start with a clean slate and respond directly to what the market truly needed.

Its rapid rise has been supported by several tangible competitive strengths:

-Product innovation. Sigenergy pioneered a modular all-in-one solar-storage-charging system that challenged the conventional split-product model. It was also among the first globally to apply 280Ah large battery cells in residential storage products, reducing cost by 20% to 30% and significantly improving cycle performance.

-User experience. The company reduced installation time from the industry average of four hours to just 15 minutes, enabled switching between on-grid and off-grid modes in as little as five milliseconds, and developed an intelligent energy management app integrated with GPT-4 capabilities. Combined with a five-layer safety architecture, these features directly addressed many of the pain points faced by both end users and installers.

-Full-stack in-house R&D. Sigenergy develops its core hardware and software internally, giving it greater control over the full technology stack. With hundreds of core patent applications, the company has built strong system-level integration advantages in efficiency, safety, and adaptability.

-Global channel development. Within two years of its founding, Sigenergy established channel coverage across 85 countries and regions, built close relationships with 172 core distributors, and put in place a localized overseas after-sales service network. This global reach has created a meaningful barrier for later entrants.

Perhaps most notably, when Sigenergy committed itself fully to integrated systems in 2022, that category represented less than 30% of global market demand. By the time its products reached the market, more than 95% of demand had shifted toward integrated solar-storage solutions. Its early judgment on where the market was heading allowed the company to capture that transition ahead of competitors.

And the story is still unfolding. With its Nantong smart factory now in operation, Sigenergy is strengthening its global delivery capability while expanding beyond residential storage into commercial and industrial storage, utility-scale projects, EV charging, and virtual power plant applications. These new areas are expected to support its next phase of growth.

05 Investing in Long-Term Value

Sigenergy's exponential growth over the past four years is a powerful reminder that markets ultimately reward real value creation. For TTGG Ventures, the journey has also reflected an investment philosophy we have followed consistently for many years:

Stay deeply rooted in industry. Seek truth through research. Think against the cycle. Commit to long-term value when others hesitate.

We began building our presence in the energy transition space more than a decade ago. Today, around 30% of our portfolio is allocated to the new energy sector, spanning photovoltaics, energy storage, power batteries, lithium materials, and power equipment, with successful exits including Ronbay Technology, Estone, Tianneng Battery, REPT BATTERO, Mirattery, and Worldlight Materials.

Compared with volatile downstream markets, we are often drawn to core segments of the industrial chain where strong technological barriers and continuous innovation matter most, including battery materials, separators, electrolytes, and key supporting components. From there, we extend our research up and down the value chain to identify the next generation of exceptional businesses.

Sigenergy's IPO is a major milestone, but it is also the beginning of a new chapter.

TTGG Ventures will continue to stay true to the principles of value investing, deepen our industry expertise, and support the next generation of innovators working to create lasting impact.