Six Chinese banks to earn $41 million from CXMT's $8.6B IPO
Business
Six major Chinese banks are set to earn $41 million in fees from ChangXin Memory Technologies's (CXMT) huge $8.6 billion IPO, the biggest in Asia this year and a landmark moment for China's chip industry.
This deal is part of China's push to make it easier for tech companies, especially in semiconductors, AI, and robotics, to go public.
CXMT secures 0.48% fee rate
CXMT managed to secure a fee rate of just 0.48%, way below this year's A-share IPO average of 4.52%, showing they drove a hard bargain with the banks.
If the IPO is oversubscribed, total proceeds could reach $9.8 billion.
The successful listing not only highlights CXMT's role as China's top DRAM chipmaker but also signals a comeback for China's IPO market and investment banking scene.