The company is targeting annual sales of 120 million yuan in 2016, a 20 percent rise, with profits expected at 25 million yuan, which would be 67 percent increase, said Zhu.

"We aim to be one of the top three capsule manufacturers in China within three years through technology upgrading and M&As."

Zhejiang Siling Automobile Bearing Co Ltd is another company which plans to use the New Third Board as a steppingstone for expansion.

It plans to raise about 200 million yuan from the board through private placement in 2016, its General Manager Jiang Ling told China Daily.

"The funds will be used to build our new factory and for mergers and acquisitions," said Jiang.

"We aim to achieve annual revenue of more than 200 million and net profit of 15 million yuan this year," said Jiang, but he said liquidity remains a problem on the New Third Board, "as there are limited ways of transferring shares and the investor barrier is high".

He explained that companies can only choose to trade their shares on the New Third Board through contract transfer, or by selling them to market makers－the securities firms.

Qualified investors on the market should each have investable funds of no less than 5 million yuan.

"So we are planning to get listed at the A-share market in three years," said Jiang.