YMTC Files $4.9 Billion Shanghai IPO as AI-Driven NAND Boom Lifts Margins to 77%
Updated
Updated · Quartz · Aug 24
YMTC Files $4.9 Billion Shanghai IPO as AI-Driven NAND Boom Lifts Margins to 77%
3 articles · Updated · Quartz · Aug 24
Summary
YMTC filed for a Shanghai IPO to raise $4.9 billion, planning to sell 2.0 billion to 2.4 billion new shares equal to 10% to 12% of post-offering capital and target a 2027 listing.
The Wuhan memory-chip maker said the proceeds will upgrade production lines and fund next-generation storage products as AI demand pushes NAND flash prices higher and keeps its factories near full capacity.
First-quarter revenue hit 47.04 billion yuan, topping all of 2024, while net profit reached 33.38 billion yuan and gross margin widened to 77% from 35% a year earlier.
Counterpoint ranked YMTC third globally in NAND shipments, ahead of Kioxia by volume, though it still trails Kioxia and Micron by revenue.
The deal follows rival CXMT's strong market debut last month and comes as YMTC still faces U.S. technology restrictions that could limit longer-term growth.
YMTC ranks third globally in NAND shipments, but why is its revenue lagging behind rivals in the booming AI memory race?
As AI data centers drain global memory supplies, will YMTC's 300-layer breakthrough redefine China's semiconductor independence despite looming export controls?