Core Viewpoint - The article discusses the development of the semiconductor industry in the Guangdong-Hong Kong-Macao Greater Bay Area, focusing on the rapid growth of Yuexin Semiconductor, which aims to address the region's previous reliance on external chip sources and its current IPO plans [4][10][23]. Group 1: Company Overview - Yuexin Semiconductor plans to raise 7.5 billion yuan through its IPO, with a pre-IPO valuation of 25.3 billion yuan [3][8][14]. - The company was established in December 2017 and has rapidly developed its production capabilities, achieving significant milestones in just 18 months [12][13]. - Yuexin focuses on "specialty process" wafer foundry, targeting areas with high demand and low domestic production, such as analog chips and power management [12][13]. Group 2: Financial Performance - The company reported a projected revenue rebound to 1.681 billion yuan in 2024, but cumulative net losses exceeded 6.4 billion yuan from 2022 to mid-2025 [16]. - The high losses are attributed to substantial equipment depreciation and ongoing R&D investments, with total depreciation exceeding 5.5 billion yuan during the reporting period [16]. - Yuexin Semiconductor anticipates achieving overall profitability by 2029 [17]. Group 3: Investment and Funding - The company has undergone multiple rounds of financing, with significant investments from state-owned enterprises and various industry capital [18][20]. - In July 2021, Yuexin completed a financing round with participation from several investment funds, including the Guangdong Semiconductor and Integrated Circuit Industry Investment Fund [18]. - The current shareholder structure includes major stakeholders such as Yuchip Zhongcheng and the Guangdong Semiconductor Fund, indicating a complex balance of interests [21]. Group 4: Industry Context - The article highlights the broader trend of local governments benefiting from investments in the semiconductor sector, with cities like Chengdu and Hefei achieving significant financial returns and industry growth [24][25]. - The semiconductor industry is becoming a focal point for capital markets, with several companies, including Yuexin, advancing their IPO processes [23][27]. - The article emphasizes the importance of local government support in nurturing the semiconductor ecosystem, as seen in Guangzhou's efforts to attract over 150 integrated circuit companies [26][27].

Core Viewpoint - Yu Xin Semiconductor is a leading integrated circuit manufacturing company focused on providing 12-inch wafer foundry services and specialized process solutions for domestic and international chip design companies [2][3] Group 1: Company Overview - Yu Xin Semiconductor operates two 12-inch wafer fabs, with a planned capacity of 80,000 wafers per month, currently achieving a capacity of 52,000 wafers per month [2] - The company is the first 12-inch wafer manufacturer in Guangdong Province to enter mass production, specializing in analog chip manufacturing [2] - By 2025, Yu Xin Semiconductor is expected to rank among the top wafer fabs in mainland China in terms of 12-inch wafer capacity, according to SEMI [2] Group 2: Product and Market Position - The company has established a diversified technology platform and core competitive advantages in niche product areas, becoming a leading foundry for capacitive fingerprint recognition chips globally [3] - Yu Xin Semiconductor is one of the few foundries in China capable of large-scale production of silicon-based CMOS ultrasonic fingerprint recognition chips [3] - The company supplies power management chips to two of the top three independent mobile chip companies globally [3] Group 3: Financial Performance - Yu Xin Semiconductor has not yet achieved profitability, with net losses projected at -1.043 billion yuan, -1.917 billion yuan, -2.253 billion yuan, and -1.201 billion yuan from 2022 to the first half of 2025 [3] - The latest external equity financing valued the company at 25.3 billion yuan [3] Group 4: IPO and Fundraising - The company plans to raise 7.5 billion yuan through its IPO to invest in the 12-inch integrated circuit analog specialty process production line project, technology platform R&D, and to supplement working capital [3][4] - The implementation of the fundraising projects is expected to enhance the technical level and product competitiveness of multiple process technology platforms, expanding the company's capacity and supporting its transition from consumer-grade to industrial-grade and automotive-grade wafer foundry services [4]