China’s YMTC Seeks $4.6 Billion in Star Market IPO

Chinese NAND flash maker Yangtze Memory Technologies Co. plans to raise 33 billion yuan, or about $4.6 billion, through an initial public offering. Alongside DRAM specialist ChangXin Memory Technologies, or CXMT, YMTC is one of China’s leading semiconductor companies.

The Shanghai Stock Exchange said on August 22 it accepted the IPO application from Changjiang Chunqiu Holdings, or CCSH Corp., YMTC’s parent, for a listing on the Star Market, China’s Nasdaq-style board for technology companies. YMTC plans to use 20.8 billion yuan of the proceeds for production-line technology upgrades and 12.2 billion yuan for research and development.

The offering would rank as the third-largest IPO on the Star Market, after CXMT and foundry company Semiconductor Manufacturing International Corp., or SMIC. YMTC plans to issue 1.98 billion to 2.43 billion new shares. Its post-listing valuation is projected at 275 billion yuan to 330 billion yuan, or about $38.2 billion to $45.9 billion. The company could make its market debut as early as the fourth quarter of 2026.

The global NAND flash market has begun to shift. Samsung Electronics Co. and SK Hynix Inc. had long maintained an oligopoly, but data compiled by market researcher TrendForce showed YMTC ranked third in both revenue and shipments in the first quarter.

Kim Ju-wan, Hankyung.com reporter, kjwan@hankyung.com