Tianjin-based semiconductor equipment manufacturer Hwatsing Technology Co., Ltd. listed to the Shanghai Sci-Tech Innovation Board (STAR Market) on Wednesday. The firm issued 26.6667 million shares at a price of 136.66 yuan ($20.47) apiece for a total fundraising sum of 3.66 billion yuan ($549 million).
Hwatsing Technology had planned to raise just 1 billion yuan from the IPO, with 350 million yuan to be used for industrialization projects involving high-end semiconductor equipment (chemical mechanical polishing machines), 200 million yuan for R&D projects of high-end semiconductor equipment, 150 million yuan for wafer recycling projects, and 300 million yuan for working capital. In other words, Hwatsing Technology raised 2.6 billion yuan more than its original plan.
Founded in April 2013, Hwatsing Technology is a high-end semiconductor equipment manufacturer with core independent intellectual property rights. Its main products are chemical mechanical polishing (CMP) equipment. CMP is the key process technology necessary for advanced integrated circuit manufacturing, advanced packaging and other links.
Its CMP equipment is widely applied in the 12-inch and 8-inch integrated circuit production lines of leading Chinese and foreign chip manufacturers, including SMIC, Yangtze Memory Technologies, Huahong Group and Intel.
Focusing on core equipment, Hwatsing Technology is expanding technical services to wafer regeneration, regular maintenance of core components, consumables sales and process development. It has gradually developed a two-wheel drive development model of “equipment + service.”
According to the firm’s prospectus, its revenues in 2019, 2020 and 2021 were 210 million yuan, 386 million yuan and 800 million yuan respectively. Its net profits during the same period were -154 million yuan, 97.79 million yuan and 198 million yuan respectively. The net profits after deduction were -47. 7233 million yuan, 14.6146 million yuan and 114 million yuan respectively.