China's CXMT Eyes $5B IPO, Boosting AI Chip Sentiment for Baidu
BIDU•ChangXin Memory Technologies plans to raise at least 29.5B yuan ($4.3B) in its Shanghai IPO, potentially exceeding $5B with an over-allotment. The flurry of AI-focused chip listings, including Baidu's Kunlunxin unit, has driven the Shanghai Star 50 Index 30% higher this year, boosting investor sentiment toward Baidu shares.
1. CXMT Plans Major Shanghai IPO
ChangXin Memory Technologies received approval for a Shanghai STAR Board offering that seeks to raise at least 29.5 billion yuan ($4.3 billion) by selling a minimum 10% stake. With over-allotment options, the deal could top $5 billion, marking the largest mainland China IPO since 2022 and underscoring government backing for domestic DRAM capacity expansion.
2. AI Chip Rally Lifts Baidu Sentiment
The strong debut of chip listings, from CXMT to upcoming offerings like Baidu's Kunlunxin unit, has propelled the Shanghai Star 50 Index up 30% year-to-date. Rising investor appetite for AI infrastructure stocks has translated into positive market sentiment for Baidu as it pursues chip development alongside core internet businesses.
