Shares of CXMT, China's largest memory chipmaker, surged about 470% on Monday during its initial public offering on the Shanghai Stock Exchange's STAR Market.
The IPO ranks among the largest in recent years.
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The company raised at least $8.6 billion by pricing shares at 8.66 yuan ($1.3) each.
Strong investor appetite reflects booming demand for AI-related technologies.
Founded in 2016 and based in Hefei, Anhui Province, CXMT manufactures DRAM chips used in AI data centers, smartphones, and personal computers.
The company plays a critical role in China's AI push, especially amid US export controls.
AI Demand Drives Revenue Surge
CXMT's revenue soared to 50.8 billion yuan ($7.5 billion) in the first quarter of 2026, a more than 700% increase year-on-year.
The growth is fueled by rapidly rising AI demand, according to the company.
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Kyle Chan, a Brookings Institution fellow specializing in China's tech policies, noted that CXMT is China's best hope to develop cutting-edge high-bandwidth memory chips essential for AI models.
However, challenges persist due to limited access to advanced chipmaking tools.
US restrictions block China from importing powerful high-bandwidth memory chips, making CXMT's role even more critical.
Chan highlighted that CXMT faces hurdles but remains a key player in China's semiconductor ambitions.
According to Counterpoint Research, CXMT ranked as the world's fourth-largest DRAM chipmaker in 2025 with a 6% share of global shipments.
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Samsung Electronics held 36%, SK Hynix 29%, and Micron Technology 24%.
