📈 Chip Chip Hooray: GigaDevice jumped as much as +54% intraday in its Hong Kong debut and closed about +37% above its offer price. The company raised roughly $600 million.
💾 Scarcity lifts profits: The rally reflects the global memory-chip shortage. Rising prices for NOR flash and other memory chips are boosting margins. GigaDevice’s profit surged nearly sevenfold in 2024 to about $150 million.
🥈 Global No. 2: GigaDevice is now the world’s second-largest NOR flash supplier with an 18.5% market share. Its chips power cars, industrial equipment, consumer electronics and energy storage—areas where demand remains strong despite macro worries.
🌏 Asia-wide boom: This is not a China-only story. SK hynix and Samsung are benefiting from the same cycle, posting strong earnings, investing aggressively in new capacity, and cashing in on higher memory prices.
🏦 Hong Kong as capital gateway: In 2025, Hong Kong led the world in IPO proceeds, with mainland tech listings in particular benefiting from global AI demand.
Background
Rising demand for memory chips from AI, automotive and industrial applications is colliding with limited capacity. Established Asian players are benefiting most. While Samsung and SK hynix are posting record profits, Chinese chip designers like GigaDevice are using Hong Kong’s capital markets to strengthen their position in the global competition.
The China Survival Guide for Western Businesses
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