Shanghai Enflame Technology, which counts Chinese tech giant Tencent as a shareholder, passed its application for an initial public offering (IPO) on the STAR Market on Monday. This marks the imminent market debut of the last remaining member among China’s "four AI chip unicorns."
The other three unicorns that went public earlier are Moore Threads, Biren Technology, and Muxi Semiconductor.
According to Bloomberg and China Securities Journal, and based on its prospectus, Enflame Technology plans to raise 6 billion yuan (approximately RM3.6 billion) on the STAR Market. The company intends to issue 10% to 15% of its shares, with the proceeds earmarked for the research, development, and production of AI cloud chips and related software.
Tencent holds a 20% stake in Enflame Technology and is one of its most important clients.
Recently, Chinese tech companies’ IPOs have been enthusiastically received by investors. As Sino-US tech rivalry intensifies, companies across the AI industry chain—from circuit board manufacturers to AI model developers—are raising funds to meet market demand and vie for competitive advantages.
Although the size of Enflame Technology’s new share offering is smaller than chipmakers such as Changxin Technology, it is still a heavyweight IPO in the technology sector.