Alibaba Has Cumulatively Invested About 7.6 Billion Yuan in CXMT
Alina Collins
ChangXin Memory Technologies (长鑫科技) opens its STAR Market IPO subscription on July 16, targeting RMB 29.5 billion — the board's largest-ever raise. Alibaba, CXMT's biggest strategic investor at roughly RMB 7.6 billion committed and a ~5% pre-IPO stake, is betting heavily on domestic memory chips.
How big is this IPO?
CXMT's STAR Market IPO subscription opens July 16, targeting roughly RMB 29.5 billion.
That makes it the largest fundraise since the STAR Market launched.
This means → the capital market's confidence in domestically produced DRAM — the most common memory chip in computers and phones — is now strong enough to support a nearly RMB 30 billion offering.
Why is Alibaba committing this much capital?
Alibaba has invested a cumulative ~RMB 7.6 billion in CXMT, making it CXMT's largest strategic investor.
Alibaba Cloud was also one of the single largest investors in CXMT's final pre-IPO capital increase.
This reflects Alibaba locking in upstream chip supply for its own cloud business — securing a say at the source of the memory chips it consumes.
From ~1% to ~5% — what does the ramp-up path tell us?
In December 2021, Alibaba first took a stake in CXMT. After multiple funding rounds diluted the position, its holding fell to roughly 1%.
In June 2025, Alibaba sharply increased its investment, lifting its pre-IPO stake to about 5% — Alibaba Cloud Computing holds 3.85%, Alibaba Network holds 1.12%.
In plain terms = the first cheque was a toe-in-the-water; doubling down three and a half years later signals a shift from watching to strategic commitment.
How did the market react?
After the news broke, Alibaba's U.S.-listed shares rose more than 2% on Thursday, closing at $111.67.
This means → the market read Alibaba's heavy position in CXMT as a positive signal — both a vote of confidence in CXMT's value and an endorsement of Alibaba's proactive move up the chip supply chain.
Content is for reference only, not financial advice.