Cystone Capital Invests 1.2 Billion Yuan in ChangXin Memory; Revenue to Exceed 20 Billion Yuan on STAR Market

ChangXin Memory listed on the STAR Market. Its shareholder lineup can be divided into four categories: national funds and local state-owned capital, industrial capital including Alibaba, Tencent, Meituan, and Xiaomi, financial institutions such as banks, securities firms, and insurance companies, and market-oriented investment institutions like Qianhai Mother Fund, Cystone Capital, and Junlian Capital. Cystone Capital invested 1.2 billion yuan in 2021 in ChangXin Memory, then known as Ruili Integration, and the investment remains its largest single holding to date. At that time, ChangXin Memory's monthly capacity was only 40,000 wafers, chip yield was still being debugged, and the domestic DRAM industry was in its infancy, moving from zero to one.

The investment team faced four challenges: first, high commercialization uncertainty — DRAM chips are highly standardized, customers demand mature and consistent products, and the market has long been dominated by Samsung Electronics, SK Hynix, and Micron Technology, making customer acquisition difficult; second, a significant technology gap — at the time, ChangXin Memory's product technology was three generations behind overseas giants, with each process generation costing about 20% more, pressuring gross margins; third, the asset-heavy nature and high valuation, with price-to-book and price-to-sales ratios higher than peers; fourth, potential intellectual property disputes. Subsequently, the storage industry experienced multiple cycles of volatility, and some capital exited midway, but Cystone Capital held on. By the end of 2025, ChangXin Memory had achieved full product coverage across DDR4, DDR5, and LPDDR5X series, with 16nm process in mass production, narrowing the technology gap with leading international manufacturers to one to two generations. Storage chips are a key enabler for improved computing power and large-scale data processing, and their industrial value continues to be demonstrated.