Published on: 2026-07-20
Updated on: 2026-07-20
CXMT has priced a RMB57.9 billion IPO, mainland China’s largest since 2010, and is expected to begin trading in Shanghai on 27 July under stock code 688825. Online investors applied for about 244 times the initial allocation after first-quarter revenue surged 719%.
The listing arrives with a stark contradiction: CXMT has become profitable enough to command an $85.5 billion valuation, yet much of that profit emerged during an exceptional rise in DRAM prices.
CXMT IPO will raise RMB57.9 billion at RMB8.66 per share, nearly twice the RMB29.5 billion allocated to its original investment plan; the greenshoe could lift proceeds to RMB66.6 billion.
Trading is expected to begin on 27 July under stock code 688825, although the date remains provisional until the Shanghai Stock Exchange publishes the final listing notice.
Online demand reached about 244 times the initial allocation, leaving successful applicants with less than 0.5% of the shares they requested.
The RMB579.2 billion valuation equals almost 309 times reported 2025 earnings, while CXMT’s first-half 2026 forecast points to a radically stronger profit base.
CXMT ranks fourth in global DRAM with a 7.67% share, giving China its first large-scale domestic challenger to Samsung, SK Hynix and Micron.
CXMT is expected to start trading on Shanghai’s STAR Market on 27 July 2026 under stock code 688825. Its listed Chinese name is ChangXin Technology, while CXMT Corporation is the English corporate name used in the prospectus. The Shanghai Stock Exchange had published subscription, allocation and payment results by 20 July, although the final listing notice remained pending.
The listing brings China’s largest domestic DRAM manufacturer to the mainland public market. CXMT designs, manufactures and sells memory chips used in phones, personal computers and servers, placing it in one of the semiconductor industry’s most capital-intensive segments.
CXMT is initially selling about 6.69 billion shares at RMB8.66 each. The base offer raises RMB57.92 billion before fees, while full use of the 15% greenshoe would increase gross proceeds to RMB66.61 billion.
The size of the offer stands out because CXMT identified only RMB29.5 billion of funding needs in its prospectus. The base IPO raises almost twice that amount, giving the company considerably more capital than the three projects in its original funding plan require.
Published mainland IPO totals show how far CXMT has moved beyond the large listings that followed Agricultural Bank of China in 2010.
| Company | Year | Mainland IPO proceeds |
|---|---|---|
| Agricultural Bank of China | 2010 | About RMB68.5bn |
| CXMT | 2026 | RMB57.9bn base; RMB66.6bn maximum |
| China Telecom | 2021 | About RMB54.1bn final |
| SMIC | 2020 | Up to RMB53.2bn |
Even without the greenshoe, CXMT exceeds every mainland IPO completed after 2010. Full exercise would place it just below Agricultural Bank of China’s Shanghai total.
Nearly 9.43 million online accounts applied for 816.92 billion CXMT shares. Demand reached about 243.9 times the initial online allocation, and the final winning rate was 0.4714%. In practical terms, successful applicants received less than 0.5% of the shares they requested.
The public pool was smaller than the headline deal size suggests. Strategic investors received 24.93% of the initial offering, leaving retail applicants and other online investors to compete for a more restricted allocation.
Scarcity added to CXMT’s appeal. Few mainland-listed companies provide direct exposure to DRAM manufacturing, while memory chips have gained strategic importance as China seeks to reduce reliance on overseas semiconductor suppliers.
The subscription ratio confirms intense demand for access. It does not establish that the RMB579.2 billion valuation is cheap.
Higher DRAM prices and sharply rising shipment volumes drove CXMT’s revenue surge.
The average selling price of its DDR products rose 61% in 2025, while shipment volume measured by memory capacity climbed 282.22%. Faster sales of DDR5 and LPDDR5X products also lifted the value of the company’s product mix.
The acceleration continued into 2026. First-quarter revenue reached RMB50.80 billion, up 719.13% from a year earlier and equal to 82% of full-year 2025 sales. Profit attributable to parent-company shareholders reached RMB24.76 billion after a loss in the comparable quarter.
The earnings surge transformed the IPO narrative. CXMT entered the pricing process with rapidly expanding cash flow and profit rather than the heavy losses reported in 2023 and 2024.
Memory plants carry high fixed costs. Higher selling prices and fuller production lines therefore send profit up much faster than revenue. The same operating structure can cause margins to contract rapidly when DRAM prices fall.
The RMB8.66 offer price gives CXMT a pre-greenshoe market capitalisation of about RMB579.2 billion, or $85.5 billion. The official offer documents place the shares at 308.92 times 2025 profit attributable to parent-company shareholders.
That trailing multiple uses RMB1.87 billion of attributable profit from 2025, when CXMT had only recently returned to profitability. The company reported RMB7.14 billion of consolidated net profit, although most of that income belonged to outside investors in its subsidiaries rather than shareholders of the listed parent.
CXMT’s first-half 2026 forecast produces the opposite impression. Management expects RMB50 billion to RMB57 billion in attributable profit, implying an offer valuation of roughly 10 to 12 times only six months of projected earnings. The forecast is unaudited and does not constitute a formal profit guarantee.
Neither comparison shows what CXMT may earn in a typical year. The 2025 multiple reflects a much weaker earnings base, while the first-half forecast captures unusually favourable DRAM pricing.
The offer price, therefore, assumes that a meaningful share of the 2026 earnings improvement will persist through the next industry slowdown. A return towards the 2025 profit level would leave the valuation difficult to defend.
CXMT accounted for 7.67% of global DRAM revenue in the fourth quarter of 2025, placing it behind Samsung, SK Hynix, and Micron. The three established leaders still control more than 90% of the market.
CXMT does not need to overtake them to affect global supply. A manufacturer approaching 8% market share can influence pricing if its new capacity grows faster than overall memory demand.
Mobile devices generated 60.4% of CXMT’s 2025 DRAM revenue. Servers contributed 26.51%, up from 8.39% in 2024, reflecting the rollout of newer DDR5 products and stronger data-centre demand.
Most of that server business still relies on conventional DRAM rather than high-bandwidth memory used alongside AI accelerators. CXMT’s filing says revenue from DRAM used in AI-computing servers remains relatively low.
CXMT has reached significant scale in mainstream memory. The remaining gap lies in premium AI products, where SK Hynix, Samsung and Micron retain stronger positions.
Lower DRAM prices pose the clearest threat to CXMT’s post-IPO earnings.
The recent profit surge followed tight supply, rising prices and stronger production volumes. Those conditions also encourage memory manufacturers to expand. Once new output catches up with demand, prices and margins can retreat quickly.
CXMT’s new capital gives it greater capacity to fund production growth. Rapid expansion across the wider industry could eventually weaken the very prices that support its current profits.
US restrictions create a separate constraint. The Department of Defense added CXMT to its updated Section 1260H list of companies it classifies as Chinese military companies in June 2026. The designation does not amount to an immediate ban on CXMT’s civilian sales, although it increases scrutiny and the risk of tighter future restrictions.
Limits on advanced semiconductor equipment could also slow cost reductions and delay progress in premium memory. CXMT remains dependent on continued process improvements as it competes with companies that have larger technology budgets and longer customer relationships.
The first checkpoint will be its half-year results. CXMT forecasts RMB110 billion to RMB120 billion in revenue and RMB50 billion to RMB57 billion in attributable profit for the first six months of 2026.
Qualified foreign institutional investors can participate directly in eligible STAR Market securities. Other overseas investors generally depend on broker access and Northbound Stock Connect eligibility, which does not automatically cover every newly listed Shanghai share.
CXMT has no controlling shareholder and no formally identified ultimate controller. Before the IPO, its largest shareholder held 21.67%, while four other shareholders each owned more than 5%, leaving control divided among state-backed funds, local investment entities and employee-linked platforms.
CXMT manufactures DRAM memory used to store data temporarily inside devices and servers. SMIC is primarily a semiconductor foundry, producing chips designed by outside customers. Their businesses sit in different parts of the chip supply chain despite both being major Chinese semiconductor manufacturers.
CXMT allocated RMB7.5 billion to production-line upgrades, RMB13 billion to DRAM technology improvements and RMB9 billion to longer-term memory research. Those projects total RMB29.5 billion, substantially below the RMB57.9 billion raised in the base offering.
Strategic investors face lockup periods ranging from 12 to 36 months, depending on the investor category. The restrictions limit immediate selling from a group that received almost one-quarter of the initial offering, although each future lockup expiry could increase the number of shares available for trading.
CXMT’s expected 27 July debut will reveal the premium investors place on access to China’s leading domestic DRAM producer. The first trading day will measure demand for its shares; the next turn in DRAM prices will measure CXMT itself.
