CXMT Corp, China’s largest DRAM manufacturer, completed its IPO on Shanghai’s STAR Market on July 27, raising 57.92 billion yuan (approximately $8.6 billion) and reaching a valuation of 579 billion yuan (approximately $85 billion), making it the world’s fourth-largest DRAM maker. Institutional demand exceeded 500 times the number of shares offered, while the company generated nearly $7.5 billion in revenue during the first quarter, a 700% year-over-year increase, and achieved profitability for the first time. CXMT also signed a deal with ByteDance worth over $7 billion. However, significant risks remain: memory chips are subject to pronounced price cycles between gluts and shortages, and state ownership concentration, with a 36.8% stake held by Hefei-linked investors, introduces political risk dimensions.
Source: Read the original article
