Chinese AI and Chip Companies Drive Fivefold Surge in A-Share Tech IPO Fundraising This Year
N.R. Finch
Chinese A-share tech IPOs have raised $3.1 billion this year through June 18 — more than five times the year-ago figure — as nearly 50 chip and AI firms line up to list, backed by Beijing's policy push to turn tech rivalry into capital-market momentum.
A fivefold jump — where is the money coming from?
LSEG data show A-share tech firms have raised $3.1 billion this year, up more than fivefold year-on-year — the strongest run since 2023.
This means → the surge is not organic demand alone; Beijing is actively steering chip and AI companies toward public markets amid the U.S.–China tech contest.
Nearly 50 companies — spanning robotics startups and semiconductor makers — have filed IPO applications, targeting a combined ¥126.1 billion (roughly $18.7 billion) in proceeds.
CXMT — why is the year's biggest IPO a bellwether?
Memory-chip maker CXMT plans a ¥29.5 billion Shanghai listing; success would make it the single largest IPO of the year.
This means → whether CXMT clears the market will determine if total tech-IPO volume hits a three-year high.
In plain terms = this one deal is both the anchor for headline fundraising and the real-world test of appetite for large-cap tech offerings.
How many policy levers has Beijing pulled?
The CSRC said this month it will support eligible Hong Kong–listed companies applying for A-share listings.
The Shanghai Stock Exchange published rules easing large-language-model companies' path onto the STAR Market; on June 17 regulators added support for startups in quantum technology, nuclear fusion, and brain-computer interfaces — labelled "future industries."
This reflects a strategy that goes beyond nurturing existing sectors: Beijing is opening the capital gate for next-generation technologies before they mature.
Why are Hong Kong–listed companies heading back to the A-share market?
Zhipu AI raised HK$4.35 billion in a January Hong Kong IPO, then announced plans this month for a ¥15 billion STAR Market follow-on.
Baidu's chip unit Kunlun Xin is awaiting regulatory approval for a $2 billion Hong Kong listing while also preparing a smaller A-share offering, Reuters reported, citing people familiar with the matter.
Citi's Asia-Pacific tech co-head Ho-Yin Lee said an A-share listing lets these firms tap a wider pool of Chinese investors: "They gain a deep capital pool, growth funding, and strong domestic brand recognition."
In plain terms = list in Hong Kong for international capital, list on the A-share market for domestic capital — do both, and the funding pool doubles.
Can secondary-market performance hold up?
SJ Semiconductor (688820.SS) has risen more than eightfold from its IPO price; Saimu Technology (688808.SS) has surged nearly 28 times.
This means → demand for new tech listings has real market backing, not just a policy tailwind.
Goldman Sachs Asia ECM head James Wang said: "The acceleration of Chinese tech issuance is part of the global AI wave — the U.S. and China are jointly driving this trend."
The exit channel is open — what comes next?
Davis Polk Asia co-head Li He noted that the IPO acceleration "gives PE and VC funds a long-awaited exit opportunity."
This means → capital can only flow back into early-stage tech if it can first flow out — the openness of the IPO channel directly shapes confidence in the next funding cycle.
Whether that channel stays open depends largely on whether marquee deals like CXMT can land smoothly and sustain secondary-market performance.
Content is for reference only, not financial advice.