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CXMT prices Shanghai IPO at 8.66 yuan, values it about $85.2B

The company expects to raise 57.9 billion yuan, and the deal could grow to 66.6 billion yuan if a 15% greenshoe is fully exercised.

Reported · Written up by our desk · China

China’s memory chipmaker ChangXin Memory Technologies, or CXMT, has priced its Shanghai initial public offering at 8.66 yuan per share, according to an offering announcement cited by SCMP Economy.

CXMT expects to sell nearly 6.7 billion shares, representing 10% of its enlarged capital, which implies a valuation of 579 billion yuan, or about $85.2 billion, upon listing on Shanghai’s Star Market.

If a 15% overallotment option is fully exercised, the offering could expand to 7.7 billion shares and raise up to 66.6 billion yuan, or about $9.83 billion.

Subscriptions are set for Thursday, but CXMT has not yet announced a trading debut date, and SCMP Economy says the fundraising haul nearly doubles the 29.5 billion yuan the company originally earmarked for investment projects in its prospectus.

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