Overview
- CXMT completed its STAR Market listing on Monday, July 27, raising 57.92 billion yuan by selling shares at 8.66 yuan each with potential proceeds to 66.61 billion yuan if overallotment is used.
- The stock exploded on its first day of trading with reported gains roughly between 466% and over 500%, briefly valuing the company in the multiple‑trillion‑yuan range and making it China’s most valuable listed firm at the peak.
- Only about 6.7% of CXMT’s enlarged share capital was freely tradable at listing, a tiny float that amplified price moves and drove heavy turnover and retail demand.
- CXMT said IPO proceeds will fund capacity expansion, manufacturing upgrades and R&D, but building larger DRAM output and higher‑end products typically takes many months to years so near‑term relief for global shortages is limited.
- Regulatory and geopolitical risk remains unresolved: CXMT is on the U.S. Pentagon’s 1260H roster and U.S. agencies have discussed Entity List action, which could restrict Western buyer access even as firms such as Apple have been reported to test CXMT chips.