NEXCHIP launches HK IPO at HKD30-HKD32.3, raising HKD6.5B

Wafer foundry NEXCHIP launched its Hong Kong IPO Tuesday, offering 216 million shares at HKD30-HKD32.3 each.

The company, already listed on Shanghai's STAR Market as NEXCHIP (688249.SH), plans to allocate about 10% of the 216 million H shares to the Hong Kong public offering and 90% to the international placing, according to its prospectus. At the mid-point price of HKD31.15, net proceeds are estimated at approximately HKD6.536 billion. The offer period runs from June 30 to July 7, with listing expected July 10 on the Main Board.

NEXCHIP introduced 20 cornerstone investors for the H-share IPO, who collectively subscribed to shares equivalent to about USD430 million. The group includes SMARTSENS (688213.SH), Chery Auto (09973.HK), Goertek (002241.SZ), Taikang Life, GF Fund, and HHLR Advisors under Hillhouse. With a board lot size of 100 shares, the entry fee is approximately HKD3,262.57. The company did not disclose the use of proceeds breakdown or lead underwriters in the initial terms.

NEXCHIP manufactures integrated circuits for automotive, consumer electronics, and industrial applications. Its STAR Market-listed shares have moved in line with the broader semiconductor sector, which has seen renewed investor interest amid a global chip demand recovery. The Hong Kong listing allows international investors to gain exposure to the mainland foundry sector without A-share trading restrictions.

The dual listing gives NEXCHIP access to both onshore and offshore capital markets, a structure increasingly used by mainland semiconductor companies seeking deeper international investor reach. The HKD6.5 billion deal will serve as a barometer for Hong Kong's IPO market appetite for tech listings. Investors will watch first-day trading on July 10 for signs of institutional demand for the wafer foundry sector.

This article is for informational purposes only and does not constitute investment advice.