China's Nexchip Semiconductor seeks up to $890.3 million in Hong Kong share sale

China's Nexchip Semiconductor seeks to raise up to HK$6.98 billion ($890.26 million) in a Hong Kong share sale, an exchange filing showed on Tuesday.

The chip firm is offering 216.2 million shares at maximum HK$32.30 each ‌and expects ⁠dealing ⁠of H shares to begin on July 10, the ​filing showed.

Nexchip's raising follows a slew of Chinese technology ​firms seeking to raise funds in Hong Kong's red-hot capital markets, with Apple supplier Luxshare ​Precision Industry revealing on the ⁠day an ‌up to $3.10 billion share sale.


AI-linked ​firms seek ​to catch the action, with Baidu's Kunlunxin ⁠planning a Hong Kong IPO with a $50 ​billion target valuation, the Information reported ​on Sunday.

Nexchip aims to use about 53.6% of the proceeds for research and development and optimization of the 22 nm technology platform, and expects some of the proceeds ‌for production initiatives based on AI technology.

The company, however, sees lower net profit ​for 2026 ​compared to ⁠a year ago, mainly due to anticipated depreciation costs from its new production facility, the filing showed.

Cornerstone ​investors, or big investors that commit to buy shares before listing, include Chinese automotive firm Chery Automobile's unit, according to the prospectus.