Changxin Storage Technology Co., Ltd. (CXMT) will initiate IPO subscription on the STAR Market in Shanghai on July 16, with an estimated fundraising of approximately 29.5 billion yuan ($4.33 billion). This will be the largest A-share listing in 2026 and the second-largest IPO in the history of the STAR Market, only behind SMIC. CXMT is China's largest DRAM manufacturer, with a net profit of 33 billion yuan in Q1 2026.
CXMT IPO Issuance Mechanism: Presale from July 13, Payment by July 20
According to CXMT's announcement on the STAR Market, the key IPO timeline is as follows:
July 13: Presale begins
July 15: Final IPO pricing announced
July 16: Institutional and retail subscription starts (stock code: 688825, online subscription code: 787825)
July 20: Payment deadline
CXMT plans to sell about 6.69 billion shares, accounting for approximately 10% of the expanded share capital; the lead underwriter, China International Capital Corporation, holds a 15% over-allotment option, allowing the total shares for sale to exceed 7.69 billion. Market valuation estimates by the National Business Daily suggest the company's valuation ranges between 2 trillion and 3 trillion yuan.
Q1 2026 Financial Data: Net Profit Surges Over 100 Times to 33 Billion Yuan
According to Caixin, CXMT's net profit in Q1 2026 reached 33 billion yuan, compared to a loss of 2.8 billion yuan in the same period last year. Q1 revenue increased by 719% year-over-year to 50.8 billion yuan. The company forecasts that revenue for the first half of 2026 will reach between 110 billion and 120 billion yuan, with net profit between 50 billion and 57 billion yuan, representing a year-over-year increase of 22,440% to 25,440% (as reported by the National Business Daily).
The company attributes its performance recovery to supply constraints on DRAM products and price increases driven by AI-related demand. TrendForce predicts Q3 DRAM contract prices will rise by 13% to 18%. Gartner forecasts that the overall semiconductor industry revenue in 2026 could approach $1.3 trillion, with memory contributing about 50% of industry growth (all based on third-party forecasts).
Frequently Asked Questions
What is the scale of CXMT's IPO and its position on the STAR Market?
According to CXMT's announcement, the IPO aims to raise about 29.5 billion yuan ($4.33 billion), making it the largest A-share listing in 2026 and the second-largest in STAR Market history (after SMIC). The final results depend on the subscription on July 16 and the final pricing.
What is the shareholding commitment of founder Zhu Yiming?
According to the National Business Daily, Zhu Yiming has committed not to sell any shares within 10 years after the IPO (one of the longest voluntary lock-up periods for founders of A-share companies). Afterward, he plans to sell no more than 20% of remaining shares annually. He also plans to allocate 768 million shares to employees over the next 10 years after the company goes public, which, based on recent market prices, exceeds 20 billion yuan, making it one of the largest employee equity incentive plans in the A-share market.
What does testing CXMT chips mean for Apple?
According to the Financial Times, Apple is testing CXMT products on equipment produced in China. This indicates rising interest from foreign companies in Chinese memory manufacturers but is also influenced by geopolitical factors related to U.S. restrictions on the semiconductor industry. Specific cooperation or procurement relationships will depend on official statements from both parties.
