Nexchip Raises $891 Million in Hong Kong Share Sale

Chinese contract chip manufacturer Nexchip Semiconductor Corp. raised about $891 million in a Hong Kong share sale on July 10. The company sold 216.2 million shares at HK$32.30 (approximately $4.10) each, hitting the top of its indicated range.

Hong Kong IPOs have collectively raised over $30 billion so far in 2026, according to industry data. Nexchip's pricing was 57% below its Shanghai closing price on July 9. On its debut, its Hong Kong shares rose as much as 14%, while its Shanghai-listed shares fell by up to 12%.

Founded in 2015 as a joint venture between government-backed investors in Hefei and Taiwan's Powerchip Semiconductor Manufacturing Corp., Nexchip manufactures chips designed by other companies. It focuses on mature-node manufacturing, covering processes from 150 nanometers down to 40 nanometers, rather than leading-edge chips.

The company stated that the funds will primarily be used for technology upgrades. This includes research and development for a next-generation 22-nanometer platform, as well as AI-enabled research and manufacturing initiatives.