On its debut on the STAR Market, CXMT' performance, featuring tens of billions in fundraising and a trillion-yuan market capitalization, not only swept the entire technology and industry circles but also officially propelled this domestic DRAM leader to the top of the A-share market capitalization list.
*DRAM (Dynamic Random Access Memory) is a type of volatile semiconductor memory.
Many people focus on the technological breakthroughs in chip localization, and many discuss the wealth effect brought by new stocks. However, after sorting out the equity structure and the investment context over the past decade, it becomes clear that the most noteworthy winner behind this industry milestone is Hefei's state-owned capital, which has accompanied the company all the way.
*Note: "Hefei's state-owned capital" refers to a systematic investment force centered on three major platforms—Hefei Construction Investment, Hefei Industrial Investment, and Xingtai Holdings—supplemented by district-level state-owned capital and provincial-municipal coordinated funds, rather than a single institution.
From the "reckless" controversy when betting on BOE back in the day, to the crucial counter-trend investment in NIO, and now the fruitful results of CXMT, Hefei, known as the "most awesome venture capital city," has never relied on luck.
On July 27, the domestic DRAM leader CXMT (688825) officially listed on the STAR Market. The issue price was 8.66 RMB/share, and the closing price on the first day reached 49 RMB/share, a surge of 465.82%, with a total market capitalization of approximately 3.28 trillion RMB, topping the A-share market capitalization list. Meanwhile, with a fundraising amount of about 57.9 billion RMB, it became the largest IPO on the A-share market so far in 2026.
In terms of performance, CXMT achieved a net profit attributable to shareholders of 1.875 billion RMB in 2025, successfully turning a profit; in the first quarter of 2026, its revenue reached 50.8 billion RMB, a year-on-year increase of 719.1%, and the net profit for the first half of the year is expected to reach 50 billion to 57 billion RMB. As a core benchmark for the localization of domestic memory chips, the listing of CXMT is also the latest fruitful result of Hefei's state-owned capital's industrial investment over the past two decades.
Image source: Prospectus of CXMT
01. A Decade of Betting: Hefei's State-Owned Capital Becomes the Core Beneficiary
The prospectus shows that state-owned capital at both the municipal and district levels in Hefei collectively held 36.79% of CXMT' shares pre-issuance, with the stake diluted to about 33.1% after the new share issuance. The top two shareholders, Hefei Qinghui Jidian and Hefei ChangXin Integrated Circuit, held 21.67% and 11.71% respectively. Both were early entities that entered when the project landed in 2016. In addition, platforms such as Hefei Industrial Investment No. 1 and Hefei Jianchang also hold shares.
Over the past decade, Hefei's state-owned capital has cumulatively invested about 24.8 billion RMB in the CXMT project. Calculated based on the closing market capitalization on the first day of listing, the corresponding market value of the shares exceeds one trillion RMB, with substantial book floating profits.
Going back to 2016, the DRAM industry featured high technological barriers, massive capital investment, and strong fluctuations in the profitability cycle. There was no mature mass production capability domestically, making the project highly risky. Hefei's state-owned capital took the lead and cooperated with GigaDevice to launch the ChangXin Memory project. In the first phase budget of 18 billion RMB, Hefei Industrial Investment contributed 14.4 billion RMB. In subsequent multiple rounds of financing, state-owned capital continued to increase its investment, while also driving follow-on investments from Alibaba, Tencent, Xiaomi, and national-level industrial funds, jointly supporting the company through process research and capacity ramp-up, ultimately achieving independent and controllable core DRAM processes.
02. Three Benchmark Investments: Connecting the Context of Industrial Upgrading
CXMT is not an isolated case. From BOE to NIO and then to CXMT, three key investments spanning over a decade have connected the complete path of Hefei's industrial upgrading.
Investment in BOE in 2008. At that time, Hefei's annual fiscal revenue was only 16 billion RMB, yet it dared to introduce BOE, which was losing over 1 billion RMB annually. Hefei Construction Investment, together with Xincheng State-owned Capital, invested 17.5 billion RMB to build the country's first 6th-generation LCD panel line. Subsequently, the 8.5th-generation and 10.5th-generation lines were successively landed, with Hefei's cumulative investment exceeding 100 billion RMB. This investment not only allowed the state-owned capital to net about 14 billion RMB through share reductions, but more importantly, it built a globally leading new display industry base, making up for the shortcoming of "lacking screens" in the domestic industrial chain.
Investment in NIO in 2020. At that time, NIO faced a tight capital chain and stock price pressure. Hefei's state-owned capital invested against the trend, putting in about 5 billion RMB to acquire a 24.1% equity stake, and subsequently added over 3.2 billion RMB in investments to its chip and battery subsidiaries. This money helped NIO survive a life-and-death crisis and directly drove the agglomeration of Hefei's NEV (New Energy Vehicle) industrial chain. Currently, Hefei has netted about 3.5 billion RMB on the NIO project and still holds about an 8% stake; in 2025, Hefei's NEV production reached 1.371 million units, jumping to the first place among cities nationwide, where NIO's leading role was critical.
As for CXMT, it is a crucial move made by Hefei in the semiconductor memory track, filling in a core piece of the "lacking chips" map. The three investments correspond to the three core industries of displays, NEVs, and ICs (Integrated Circuits), with each step aligning perfectly with the milestones of national industrial upgrading.
03. From "Chips, Screens, Autos, and Integration" to "654X": Continuous Expansion of the Industrial Map
The landing of a single leading project ultimately precipitates into a systematic industrial ecosystem. In Hefei, "Chips, Screens, Autos, and Integration" has long been transformed from a slogan into a tangible industrial framework:
Chips: The output value of the IC (Integrated Circuit) industry grew from 18 billion RMB in 2016 to 151.4 billion RMB in 2025, an increase of over 7 times in 9 years, with a compound annual growth rate of over 26%. As of early 2026, it has gathered over 600 enterprises above designated size and more than 70,000 employees.
Screens: Led by BOE, a globally renowned new display industry base has been built, with its comprehensive strength steadily ranking first in the country.
Autos: The NEV (New Energy Vehicle) industry has experienced explosive growth, with its production topping the list of cities nationwide in 2025.
Integration: Emphasizes industrial integration and the symbiotic development of the city and industries.
Entering the 15th Five-Year Plan period, Hefei has further upgraded its industrial system to "654X", forming a tiered pattern of layered cultivation:
6 leading industries focus on intelligent connected NEVs, next-generation information technology, new energy, new materials, smart home appliances, and high-end equipment manufacturing to consolidate scale advantages;
5 emerging industries target AI (Artificial Intelligence), low-altitude economy, commercial aerospace, safety and emergency response, biomedicine, and high-end medical devices to accelerate breakthroughs and growth;
4 future industries layout quantum technology, nuclear fusion energy and hydrogen energy, bio-manufacturing, and embodied AI to seize technological high grounds;
"X" represents dynamically followed frontier new tracks, including brain-computer interfaces, 6G, deep space and deep sea, and other directions, continuously extending towards the high end of the industrial chain.
From core leaders to supporting enterprises, the investment of Hefei's state-owned capital has covered all links of the entire industrial chain. The specific layout is as follows:
Image source: MIR DATABANK (Partial display)
By the end of the 14th Five-Year Plan period, Hefei had cumulatively rolled in over 220 billion RMB of state-owned capital, driving total project investments of over 840 billion RMB, and landing 13 industrial projects at the 10-billion-RMB level, forming an industrial pattern led by leading enterprises and developed in clusters.
04. The So-Called "Most Awesome Venture Capital": The Essence is Industrial Long-Termism
Many people call Hefei the "most awesome venture capital city," but Hefei's approach actually has an essential difference from market-oriented venture capital.
Market-oriented venture capital pursues financial returns and quick entry and exit; however, the core demand for every large investment by Hefei's state-owned capital is not short-term arbitrage, but securing a position in the core links of the industrial chain—BOE solves the lack of screens, NIO drives the new energy cluster, and CXMT breaks through the memory choke point. Essentially, they all use state-owned capital to bear early-stage risks in exchange for the city's industrial status and long-term development space.
Its path has always been clear: introduce leading enterprises, land major projects, make up the upstream and downstream chains, and form industrial clusters. From the industrial depression of "lacking chips and screens" in the early years, to the complete ecosystem of "Chips, Screens, Autos, and Integration," and then to the future-oriented "654X" system, Hefei's industrial leap over the past two decades has followed this path of steady iteration.
Following the listing of CXMT, the total market capitalization of A-share listed companies in Hefei has reached approximately 5 trillion RMB, jumping to second place in the Yangtze River Delta, second only to Shanghai.
From a once central provincial capital to a current industrial hub, Hefei has proven the value of industrial long-termism over two decades. The listing of CXMT is not the endpoint, but a phased result of this persistence. Quantum technology, fusion energy, commercial aerospace... more future-oriented industrial seeds have long been in the layout.