Shanghai Biren Technology Co. saw shares surge nearly 76% in their trading debut, raising $717 million through the IPO. The stock closed at 34.46 Hong Kong dollars, marking the best first-day performance since early 2021 among Hong Kong listings that raised at least $700 million.
As the first GPU-focused stock to list in Hong Kong, Shanghai Biren attracted strong investor demand, reflecting the industry’s growth potential. The AI chip designer’s debut follows a wave of Chinese listings in the sector, driven by surging investor interest in AI and China’s support for homegrown technology.
Shanghai Biren’s strong start bodes well for upcoming AI-related stocks like MiniMax Group Inc. and Knowledge Atlas Technology JSC Ltd. to list in Hong Kong. Baidu Inc.’s AI chip unit also filed for a Hong Kong IPO. Analysts see Shanghai Biren benefiting from industry growth and market attention.
Shanghai Biren’s stock soared nearly 119% intraday, before closing with the best first-day performance since Kuaishou Technology in early 2021. Data shows that listings of similar size in Hong Kong between 2020 to 2025 generated an average gain of nearly 23% on their first day.
Chinese chipmakers like Shanghai Biren have seen impressive debuts this year, with MetaX Integrated Circuits Shanghai Co. soaring 693% on its first day of trading in Shanghai. These firms are part of China’s “Four Little Dragons” in the GPU space, positioning themselves as contenders to fill the void left by Nvidia Corp.’s retreat.
Shanghai Biren was founded in 2019 and gained traction among major Chinese firms, claiming to set a new computing power record in 2022 with its first general-purpose GPU. However, the company faced setbacks when added to a U.S. trade restriction list, requiring a government license for exports.
Proceeds from Shanghai Biren’s IPO will fund research and development of computing solutions. The company reported a net loss of 1.6 billion yuan ($228.9 million) in the first six months of the year. China’s efforts to boost its domestic chip sector come amidst trade tensions and a push for self-reliance.
DeepSeek, a startup in Hangzhou, published a paper outlining a more efficient AI development approach, showcasing Chinese efforts to compete with OpenAI despite limited access to Nvidia chips. The release of major models by DeepSeek has preceded significant advancements in the past.
Read more at Yahoo Finance: AI chip designer Biren’s shares surge 76% on debut in Hong Kong