China chipmaker CanSemi seeks to raise up to US$918.5 million in Shenzhen listing

Chinese chipmaker CanSemi Technology is seeking to raise 6.16 billion yuan (HK$7.2 billion) in a Shenzhen listing after pricing its shares at 12.01 yuan each, a company filing showed on Wednesday.

The company, formally known as Yuexin Semiconductor Technology, plans to sell 512.6 million new shares before any overallotment option, raising 6.16 billion yuan before fees.

If the option is exercised in full, the offering will increase to 589.54 million shares and gross proceeds will rise to 7.08 billion yuan.

Strategic investors will take half of the shares on offer. They include Hangzhou Alibaba Cloud Feitian Information Technology, Shenzhen Goodix Technology and Biwin Storage Technology.

The Guangzhou-based company produces 12-inch wafers for chip designers. Wafers are thin circular slices of semiconductor material used to manufacture chips. Its products are used in consumer electronics, industrial control systems, vehicles and artificial intelligence applications.

CanSemi said it would use the proceeds to fund 12-inch wafer production projects and for working capital.

Subscriptions open on Thursday.

Reuters

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