The initial public offering for NEXCHIP (02249) has concluded. The wafer foundry company's share sale ran from June 30 to July 7, 2026.

Market information indicates the offering received HK$164.534 billion in margin financing from brokerages. Against a public offering tranche of HK$698 million, this represents an oversubscription of approximately 234.65 times.

The company plans a global offering of 216 million H shares. Approximately 10% of the shares are allocated for the Hong Kong public offering, with about 90% for international placement. An over-allotment option of up to 15% is also in place.

The indicative price range is set between HK$30 and HK$32.3 per share. The minimum board lot is 100 shares, with an entry cost of HK$3,262.57 per lot. The H shares are expected to commence trading on the Hong Kong Stock Exchange on July 10, with China International Capital Corporation Hong Kong Securities acting as the sole sponsor.

For this listing, NEXCHIP has secured 20 cornerstone investors. These include entities such as Jichuang, Puxin Technology, Zhigan Microelectronics Technology Hong Kong, Chery Automobile Hong Kong, Hong Kong Goertek, Taikang Life Insurance, GF Fund Management, Shanghai Gaoyi (in relation to a CICC Financial Trading Limited swap for Gaoyi), Perseverance Asset Management, China Universal Asset Management (Hong Kong), NGS Super, HHLR Advisors, WT Asset Management, Ivy, Verition, Pinpoint, Dacheng International, ICBC Wealth Management, China Post & Capital Wealth Management, and Harvest Global Investments. Their aggregate investment commitment totals approximately US$430 million.

According to its prospectus, NEXCHIP is a leading pure-play 12-inch wafer foundry, operating at a critical point in the global semiconductor value chain. The company transforms the circuit designs of fabless, fab-lite, and integrated device manufacturers (IDMs) into high-quality processed wafers at scale.

Its foundry services span technology nodes from 150nm to 40nm. As of the latest practicable date, the company has successfully developed a 28nm logic platform. Its process capabilities are centered on key application-specific integrated circuit (ASIC) categories, including display driver ICs (DDICs) for display control, CMOS image sensors (CIS) for image sensing, and power management ICs (PMICs) for power regulation and optimization. Logic ICs for data processing and microcontroller units (MCUs) for embedded control have also seen rapid growth during the track record period.

With this product portfolio, the company supports a wide range of applications in consumer electronics, automotive electronics, industrial control, artificial intelligence (AI), the Internet of Things (IoT), and memory.

Data from Frost & Sullivan shows that from 2020 to 2025, NEXCHIP recorded the world's fastest growth in capacity and revenue among the top ten global foundries. According to the same source, by revenue in 2025, it was the world's ninth-largest and mainland China's third-largest pure-play wafer foundry.

Financially, for the years 2023, 2024, and 2025, the company generated revenues of approximately RMB 7.183 billion, RMB 9.120 billion, and RMB 10.388 billion, respectively. Net profits for the same periods were approximately RMB 119 million, RMB 482 million, and RMB 466 million.

The company intends to allocate the net proceeds from the global offering as follows: approximately 53.6% for the research, development, and optimization of a next-generation 22nm technology platform; about 23.1% for AI technology-based intelligent R&D and production; around 13.3% for establishing an R&D and sales center in Hong Kong; and roughly 10.0% for working capital and general corporate purposes.