China's Largest Flash Memory Manufacturer Has Suspended Preparations for an IPO — Reuters
Preparations for the listing were complicated by the decline in the Chinese stock market
YMTC's potential IPO was seen as one of the largest stock offerings by a semiconductor manufacturer in China in recent years / Photo: Poetra.RH / Shutterstock.com
Yangtze Memory Technologies (YMTC)—China’s largest manufacturer of NAND flash memory chips, which are used for data storage in smartphones, computers, and data centers—has suspended preparations for its initial public offering on the STAR Market in Shanghai. Reuters reported this, citing an internal memo to employees and sources.
YMTC’s parent company, CCSH Corporation, filed for an initial public offering in August, hoping to raise 33 billion yuan ($4.9 billion). The company had planned to begin its share offering in late October or early November. The offering could have been one of the country’s largest semiconductor manufacturer IPOs in recent years, The Wall Street Journal reported.
However, the process was put on hold due to “various factors,” according to an internal memo that did not provide further details. According to two Reuters sources, the delay could last several months. On the Shanghai Stock Exchange’s website, YMTC’s application remains under review. The company did not respond to the agency’s request for comment.
According to two of the agency’s sources, the IPO will likely take place in the first half of 2027—depending on market conditions, as the tech sector has been experiencing a sell-off in recent months.
Context
Preparations for the listing were complicated by the decline in the Chinese stock market, Reuters notes. The benchmark CSI 300 index plummeted 8.5% in October—its worst monthly performance in more than a decade. The STAR50 index, which includes Shanghai-based chipmakers and AI companies, had lost 40% of its value from its July peak by the end of October. Against this backdrop, regulatory scrutiny of new listings in China has intensified in recent weeks, Reuters sources reported. According to them, the China Securities Regulatory Commission (CSRC) has given investment banks informal instructions to slow down the listing of companies in the artificial intelligence and semiconductor sectors. The regulator did not respond to a request for comment from Reuters.
This article was AI-translated and verified by a human editor
