Changxin Memory Technologies Debuts with 465.82% Gain, Xiaomi Unit Nets 736 Million RMB; Next Day Dips 1.63%
Changxin Memory Technologies Group Co. , Ltd. listed on the STAR Market on July 27, surging 465.82% on its first day to a market capitalization of 3.28 trillion RMB. A wholly-owned subsidiary of Xiaomi Technology, Wuhan 1810 Enterprise Management Co. , participated in the strategic placement, netting a paper profit of 736 million RMB. The stock fell 1.63% in the afternoon session on July 28, trimming its market cap to 3.22 trillion RMB. The IPO set multiple A-share records, including the largest single-day turnover of 141.19 billion RMB.
Changxin Memory Technologies Group Co. , Ltd. officially listed on the STAR Market on July 27. On its debut day, the stock surged, closing up 465.82% and reaching a market capitalization of 3.28 trillion RMB.
According to a previous announcement by Changxin Memory Technologies, Wuhan 1810 Enterprise Management Co. participated in the company's strategic placement, receiving 18.2448 million shares. Based on the issue price of 8.66 RMB per share, the company recorded a profit of 736 million RMB on the first trading day. Wuhan 1810 Enterprise Management Co. is a wholly-owned subsidiary of Xiaomi Technology, whose chairman is Lei Jun. Lei Jun holds 97.48% of Xiaomi Technology's shares. On July 28, Xu Jieyun, special assistant to the chairman and deputy general manager of the strategic marketing department of Xiaomi Group, responded that this is a corporate investment and that the specific subsidiary entity should not be conflated with personal wealth.
Several semiconductor supply chain companies, including Montage Technology, ESWIN, ACM Research, Anji Microelectronics, Tongfu Microelectronics, AMEC, Yitang Technology, and NSIG, each received 18.24 million shares, with a placement amount of 158 million RMB each. Based on the closing price on the first trading day, each company's paper profit exceeded 700 million RMB. Downstream application companies such as Huaqin Technology, Transsion, TCL, Kuaishou, NIO, Alibaba Cloud, ZTE, Fuyi Technology, and Chery Automobile also each received 18.24 million shares.
As of the afternoon session on July 28, Changxin Memory Technologies fell 1.63%, with a market capitalization of 3.22 trillion RMB. Changxin Memory Technologies is a major domestic memory chip manufacturer, with its main business highly concentrated on DRAM products. It has achieved mass production of a full range of DRAM products including DDR4, DDR5, LPDDR4X, and LPDDR5/5X, covering mainstream markets such as servers, mobile devices, and smart vehicles. The listing of Changxin Memory Technologies set multiple A-share records, with total funds raised of approximately 57.9 billion RMB (before full exercise of the over-allotment option), making it the largest IPO in the A-share market this year and the largest in the history of the STAR Market. On its first trading day, turnover reached 141.19 billion RMB, setting a new record for single-day turnover of an individual stock in the A-share market and making it the first A-share stock to exceed 100 billion RMB in single-day turnover.