Prime Highlights:
- Chinese chipmaker MetaX Integrated Circuits saw shares soar nearly 700% on its first day of trading.
- The company raised about $600 million through its initial public offering, showing strong investor confidence.
Key Facts:
- IPO shares were initially priced at 104.66 yuan and jumped to over 835 yuan on debut.
- The surge reflects the growing strength and ambition of China’s semiconductor industry in the global market.
Background:
Chinese chipmaker MetaX Integrated Circuits jumped nearly 700% on its first day on the Shanghai stock exchange. The IPO raised about $600 million, and shares jumped from 104.66 yuan to over 835 yuan. MetaX, like fellow Chinese chipmaker Moore Threads, develops graphics processing units (GPUs), a sector seeing rapid growth.
The surge in MetaX’s stock is part of a broader trend of Chinese semiconductor firms expanding in the chip market. These companies are working to reduce reliance on U.S. technology, especially after export restrictions on high-end chips, including those from Nvidia, limited access for Chinese firms. Other emerging players in the sector include Enflame Technology and Biren Technology.
Analysts say investor excitement is driven not just by the sector’s growth but also by national strategy. Macquarie equity analyst Eugene Hsiao noted that investors are supporting Chinese chipmakers as part of a plan to build a self-sufficient domestic semiconductor industry.
Earlier this month, Moore Threads, often called “China’s Nvidia,” saw shares jump over 400% following its $1.1 billion IPO in Shanghai, reinforcing the momentum in the local AI-chip market.
MetaX’s debut highlights the growing strength and ambition of China’s semiconductor industry as it works to meet both domestic and global demand for technology.
