New Stock News | Montage Technology (06809) has completed its initial public offering with a subscription amount of HKD 197.93 billion, oversubscribed 280 times.

Chip design company Montage Technology (06809) conducted its initial public offering from January 30 to February 4, with the public offering market continuously heating up. As of the evening of February 3, the total subscription amount increased to 197.93 billion Hong Kong dollars, exceeding more than a hundred billion Hong Kong dollars from Monday's 68.8 billion Hong Kong dollars. Calculated with a public offering capital of 700 million Hong Kong dollars, the oversubscription ratio is 280 times. According to the IPO plan, Montage Technology plans to issue 65.89 million H shares, with one-tenth for public offering in Hong Kong, with a maximum offering price of 106.89 Hong Kong dollars, raising up to 7.04 billion Hong Kong dollars. Montage Technology trades in lots of 100 shares, with an initial fee of 10,796.8 Hong Kong dollars per lot, and is expected to be listed for trading on February 9. CICC, Morgan Stanley, and UBS are its joint sponsors. Montage Technology has introduced 18 cornerstone investors, including J.P. Morgan, UBS Asset Management, Yunfeng Fund founded by Jack Ma and Yu Feng, Alibaba (09988), Aspex Management, Janchor Fund, Amundi, Baling, AGIC under former Deutsche Bank Asia Pacific Investment Banking Chairman Cai Hongping, Hel Ved Capital, Huaqin Technology, Postal Savings Bank, etc., with a total investment of 450 million US dollars. At the highest offering price, if the additional share allotment rights are not exercised, the 18 cornerstone investors can receive 3,282.8 shares, accounting for 49.82% of the offering shares and 2.71% of the shares issued. Montage Technology (688008.SH) A shares closed at 162.18 RMB on January 29, equivalent to about 182.22 Hong Kong dollars. Calculated in this way, the market value is 185.93 billion Hong Kong dollars. At the highest offering price, Montage Technology's H shares are discounted by 41.3% compared to A shares, meaning that A shares have a 70.5% rate. The prospectus shows that Montage Technology is a globally leading fabless integrated circuit design company, focusing on providing innovative, reliable, and highly energy-efficient interconnect solutions for cloud computing and AI infrastructure. The company provides interconnect chips to leading customers in the industry, including memory interconnect chips and PCIe/CXL interconnect chips, with applications covering a wide range of end markets including data centers, servers, and computers. According to Frost & Sullivan data, by 2024, its global market share of memory interconnect chips will reach 36.8%, ranking first in the industry. Currently, the company's two core product lines are interconnect chips and JinDai CPU products, with major customers including CEAC, Micron, Samsung, and SK Hynix. In terms of finances, for the fiscal years 2022, 2023, 2024, and the nine months ended September 30, 2025, the company recorded revenues of 36.72 billion yuan, 22.86 billion yuan, 36.39 billion yuan, and 40.58 billion yuan respectively; during the same period, it recorded profits of 12.99 billion yuan, 4.51 billion yuan, 13.41 billion yuan, and 15.76 billion yuan. Regarding the use of proceeds, 70% is planned for investment in research and development in the interconnect chip field; 5% for enhancing commercialization capabilities; 15% for strategic investments and/or acquisitions; and 10% for operating funds and general corporate purposes.