A-share subscription | Changxin Technology (688825.SH) opens subscription as China's first and the world's fourth largest DRAM manufacturer.

On July 16, Changxin Technology (688825.SH) started its subscription, with an issue price of 8.66 yuan per share and a subscription limit of 3.349 million shares. The price-earnings ratio is 308.92 times. It belongs to the Shanghai Stock Exchange's Sci-Tech innovation board, with CICC and China Securities Co., Ltd. As the sponsoring institutions (lead underwriters) and Guotai Haitong, Guoyuan, Huatai United Securities, and CMSC as the joint lead underwriters. According to the prospectus, Changxin Technology is China's largest and most advanced integrated enterprise in the research, development, and manufacturing of DRAM. Since its establishment in 2016, the company has been focused on the research, development, production, and sales of DRAM products. The company has adopted a "skipping generation" strategy, completing the transition from the first generation technology platform to the fourth generation technology platform for mass production, including DDR4, LPDDR4X, DDR5, LPDDR5/5X with product coverage and iteration. Currently, the company's core products and technology have reached international advanced levels. The company actively seizes industry trends, continues product iteration, and has established a diversified product layout including the DDR series, LPDDR series, etc. It can provide various product solutions including DRAM wafers, DRAM chips, DRAM modules to effectively meet market demands for servers, mobile devices, personal computers, smart cars, etc. The company owns 3 12-inch DRAM wafer plants in Hefei and Beijing. According to Omdia's data, based on capacity, shipments, and sales, the company has become China's leading and the world's fourth-largest DRAM manufacturer. The company attaches great importance to independent research and innovation. In various stages of DRAM product design, manufacturing processes, packaging testing, module design and applications the company has built a comprehensive, perfect core technology system. The main core technologies have reached international advanced levels, and the company has accumulated a rich portfolio of independent intellectual property. The DRAM industry has high technical and capital barriers. Leading companies of a certain scale can reduce costs through economies of scale, consolidating their existing advantages. Due to the industry's characteristics, from dozens of companies in the early days of the DRAM industry in the 1980s, it has evolved to major global manufacturers such as Samsung Electronics, SK Hynix, Micron Technology, and Changxin Technology. According to Omdia's data, based on sales, Samsung Electronics, SK Hynix, and Micron Technology are estimated to hold 33.96%, 34.48%, and 23.41% of the global DRAM market share by 2025, with the top three companies combined accounting for more than 90% of the market share. In recent years, domestic DRAM manufacturers like Changxin Technology are gradually entering the ranks of major players. Based on Omdia's data, by the fourth quarter of 2025, Changxin Technology's global market share has increased to 7.67% and is expected to further grow with technological development and capacity construction. In addition to the aforementioned companies, other manufacturers with a certain market share are mainly concentrated in Taiwan, including Nanya Technology, Winbond Electronics, and Powerchip. Mainland China also has other semiconductor companies entering the DRAM business but they mainly focus on chip design. Financially, for the fiscal years ending in 2023, 2024, and 2025, the company achieved operating revenues of approximately 9.087 billion yuan, 24.178 billion yuan, and 61.799 billion yuan respectively; during the same periods, net profits were approximately -19.225 billion yuan, -9.051 billion yuan, and 7.144 billion yuan respectively.