Two Chinese chip firms plan 12 billion yuan IPOs, bet US export curbs to spur growth
Beijing-based Moore Threads plans to raise 8 billion yuan, while Shanghai-based MetaX seeks 3.9 billion yuan, according to their IPO prospectuses filed on Monday (Jun 30). Both companies intend to list on Shanghai's STAR Market, the tech-focused board of the Shanghai Stock Exchange.
Their fundraising plans underscore growing efforts by Chinese chipmakers to capitalise on Beijing's push to develop domestic champions in graphics processing units (GPU), which are crucial for AI development.
Reuters reported last week that Biren Technology, another Chinese AI chipmaker, raised about 1.5 billion yuan in fresh funding and was preparing for a Hong Kong IPO.
Developing domestic chip champions has become increasingly urgent for Beijing, as the US tightens export restrictions, with the latest rules implemented in April banning Nvidia's H20 chips, one of its most popular chips, from being shipped to China.
The US has also imposed restrictions since last year that prevent Chinese AI chip designers from accessing advanced global foundries like Taiwan Semiconductor Manufacturing for producing cutting-edge semiconductors.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Sign Up
Sign Up
Moore Threads and MetaX both cited US sanctions as a major risk to their development but also emphasised the restrictions could create significant market opportunities.
'US restrictions on high-end GPU exports to China are prompting Chinese companies to accelerate domestic substitution processes,' Moore Threads said. The company was added to the US Entity List in late 2023 and is barred from partnering with TSMC.
MetaX said 'geopolitical pressures are forcing relevant domestic clients to use domestically-produced GPU products, which will help domestic GPU manufacturers establish closer ties with local customers and suppliers.'
The two firms design GPUs to compete with Nvidia products and have reported steep losses over the last three years, which they largely attributed to heavy research and development spending.
Moore Threads generated revenue of 438 million yuan in 2024 but posted a loss of 1.49 billion yuan, adding to losses of 1.67 billion yuan in 2023 and 1.84 billion yuan in 2022.
MetaX posted 2024 revenue of 743 million yuan against a 1.4 billion yuan loss, following losses of 871 million yuan in 2023 and 777 million yuan in 2022.
'Moore Threads and MetaX are both considered leading GPU firms in China, and accessing the capital market in China would be crucial for them to continue their research and development,' said He Hui, research director on semiconductors at Omdia.
China's drive to achieve higher self-sufficiency in chips would help domestic GPU firms achieve economies of scale, crucial to generating higher revenue and profits, He said.
Both companies were founded in 2020 by executives who previously worked at major US chip firms.
MetaX was founded by former AMD employees, including chairman Chen Weiliang, who previously served as the US chipmaker's global head of GPU product line design.
Moore Threads was established by former Nvidia employees, including chairman Zhang Jianzhong, who previously held the role of general manager for the AI chip giant's China operations.
The two firms compete with a growing roster of domestic rivals including Huawei, Cambricon, Hygon and other startups. REUTERS
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
an hour ago
- Straits Times
Man charged over receiving scam proceeds of more than $1.5m in his firm's bank accounts
Sign up now: Get ST's newsletters delivered to your inbox Chinese national Hao Jian was handed four charges, including over money laundering and carrying out an unlicensed remittance business. SINGAPORE – A man who allegedly received over $1.5 million in scam proceeds via his company's bank accounts was charged on July 2 . Chinese national Hao Jian, 38 , was handed four charges, including over money laundering and carrying out an unlicensed remittance business. The police said that between May and October 2020, they received several reports that a firm called Qeebey Tech UK received money, allegedly derived from scams, in its bank accounts in Singapore. The firm was incorporated in the United Kingdom, and investigations revealed that Hao was the sole director and shareholder of the company, said the police. Hao was out of Singapore when the police commenced investigations against him, but was arrested in September 2024, when he entered the Republic for business. Further investigations revealed that from February to November 2020, Hao allegedly used Qeebey Tech UK's bank accounts in Singapore to receive around $1.55 million, which was then transferred to bank accounts both locally and overseas. Separately, in April 2020, one of the bank accounts maintained by Qeebey Tech UK received $95,978, allegedly derived from scams carried out against Singaporeans. Top stories Swipe. Select. Stay informed. Singapore 3 out of 4 in Singapore cannot identify deepfake content: Cyber Security Agency survey Singapore GrabCab, Singapore's newest taxi operator, hits the roads with over 40 cabs to be rolled out in July Life Star Awards 2025: Xiang Yun and Chen Hanwei are the most decorated actors in show's 30-year history Business Cathay Cineplexes gets demand for $3.4 million in arrears from Jem landlord Singapore 3,800 private candidates in Singapore to take O- and A-level exams in 2025 Sport FAS introduces 'enhancements' to SPL, with increase in prize money and foreign player quota Business Binance to keep hundreds of staff in Singapore despite crackdown, sources say Singapore Teen admits assaulting cop, fracturing officer's nose The police said Hao was unable to provide a satisfactory explanation for the source of the money, which is suspected of being another individual's benefits from criminal conduct. This individual was not named. Hao was also the director of a Hong Kong-incorporated company named Qeebey Tech HK, which had bank accounts in Singapore. Between July 2019 and May 2020, Hao allegedly used the bank accounts of Qeebey Tech HK in Singapore to receive funds of around $1.99 million. He purportedly intended for the money to be transferred to other bank accounts in Singapore and overseas. At the time, neither Hao nor his two companies possessed a licence to carry on a remittance business or a business providing any type of payment service in Singapore, said the police. Hao was also not an exempt payment service provider. When Hao was charged on July 2, his bail was revoked, to be reviewed on July 8. Separately, his pre-trial conference will take place on July 14 . The police said they take a strong stance against those who make use of Singapore's financial system to launder proceeds of criminal conduct. 'Individuals are advised to be cautious of performing bank transactions for others in exchange for monetary benefits ,' the police said. 'To avoid becoming involved in money laundering activities, members of the public should also refrain from allowing their bank accounts to be used for receiving or transferring money for others .' Those who possess property that may be reasonably suspected of being benefits from criminal conduct, and fails to account satisfactorily how they came by the property, can be jailed for up to three years, fined up to $150,000, or both.
Singapore Law Watch
2 hours ago
- Singapore Law Watch
1MDB saga: Standard Chartered Bank disputes $3.4 billion claim by liquidators in Singapore
1MDB saga: Standard Chartered Bank disputes $3.4 billion claim by liquidators in Singapore Source: Straits Times Article Date: 02 Jul 2025 Author: Grace Leong StanChart said it has not yet received the legal claim documents, and emphatically rejects any claims made by these companies. More than US$2.7 billion (S$3.4 billion) in alleged misappropriated funds is being sought from Standard Chartered Singapore (StanChart) in a High Court lawsuit filed by liquidators in the 1Malaysia Development Berhad (1MDB) saga. The suit, which represents the latest wide-ranging effort to recover funds siphoned from Malaysia's sovereign wealth fund 1MDB – from which US investigators claim about US$4.5 billion was stolen between 2009 and 2014 – was brought by court-appointed liquidators Angela Barkhouse and Toni Shukla from financial services firm Kroll. When asked by The Straits Times why the lawsuit was being brought at this juncture, a Singapore-based lawyer for the liquidators declined to comment. The suit, which was filed on June 30, seeks to hold StanChart accountable for its role in allegedly enabling fraud to be committed against 1MDB and the systematic theft of funds. Three companies in liquidation linked to 1MDB – Alsen Chance Holdings, Blackstone Asia Real Estate Partners and Brightstone Jewellery – alleged that between 2009 and 2013, StanChart permitted over 100 intra-bank transfers that helped conceal the flow of stolen funds and chose to overlook obvious red flags regarding these transfers. The suit claims that in doing so, the bank failed to comply with Singapore's anti-money laundering (AML) regulations and client due diligence rules. StanChart, in a statement on July 1, said: 'Any claims by these companies are without merit and Standard Chartered will vigorously defend any lawsuit commenced by the liquidators.' The suit claims that the three companies lost over US$2.7 billion and $20 million in public funds. StanChart, in response to ST's queries, said it has 'not yet received the legal claim documents, and emphatically rejects any claims made by these companies'. The liquidators who are making these claims have publicly stated that these companies were shell companies with no legitimate business and were linked to fugitives Low Taek Jho and his associate Eric Tan Kim Loong, StanChart said. They operated under false pretences, and acted as a conduit for funds misappropriated from 1MDB to launder monies, the bank said. According to the lawsuit, the transfers demonstrate serious breaches and control failings that ultimately enabled the theft of public funds by people operating at the highest levels of the Malaysian government during that period. The account held by Blackstone Asia Real Estate – a firm owned by Tan – allegedly disbursed US$150 million directly to the personal bank account of Najib Razak, the former prime minister of Malaysia who has since been jailed for corruption and money laundering. Some US$4.7 million was disbursed to jewellery, watch and bag vendors to pay for the luxury goods purchased by Najib's wife Rosmah Mansor. Another US$1 million allegedly went to Red Granite Pictures, a movie production and distribution company controlled by Rosmah's biological son Riza Aziz, to pay for movie development expenses, among other things. An account held by Alsen Chance Holdings disbursed US$53.4 million to jewellery, watch and bag vendors to pay for Rosmah's luxury goods purchases, and another US$38.75 million to Red Granite Capital. The account held by Brightstone Jewellery disbursed US$77.2 million to jewellery, watch and bag vendors to pay for Rosmah's luxury goods purchases. According to the suit, these amounts, along with the nature of the money flows, are evidence of how StanChart had failed to conduct the anti-money laundering safeguards. In 2016, the Monetary Authority of Singapore (MAS) imposed financial penalties of $5.2 million on StanChart and required that disciplinary action be taken against its officers who failed to perform their duties, following findings of significant lapses and serious regulatory breaches. A spokesperson for the 1MDB board said on July 1: 'The Malaysian people were the true victims of this global fraud, and all parties are determined to hold every facilitator to account – including financial institutions that failed in their most basic duties of vigilance and responsibility.' StanChart, in its statement, pointed out that the transactions at issue date back to 2010. 'We reported the transaction activities of these companies, both before and at the time we shut their accounts in early 2013, and fully cooperated with the investigating authorities,' it said. 'As set out in the MAS' December 2016 media release on the penalties on StanChart for 1MDB-related AML breaches, MAS concluded their inspection of StanChart in relation to 1MDB-related fund flows. 'While MAS identified regulatory breaches, the inspection did not find pervasive control weaknesses or wilful misconduct at Standard Chartered,' the bank said. 'Standard Chartered takes our responsibility to fight financial crime extremely seriously. We have made significant investments in strengthening our controls and uplifting our AML standards, and will continue to do so,' it added. Source: The Straits Times © SPH Media Limited. Permission required for reproduction. Print
Straits Times
2 hours ago
- Straits Times
Philippines biodiversity hot spot Palawan pushes back on mining
Sign up now: Get ST's newsletters delivered to your inbox An aerial photo taken on May 24 shows the pier and stockpiles of nickel ore near the rice paddy of the Tambiling family in the village of Maasin, in Brooke's Point, Palawan province. BROOKES POINT, PHILIPPINES - A nickel stockpile towers over farmer Moharen Tambiling's rice paddy in the Philippines' Palawan province , evidence of a mining boom that locals hope a new moratorium will tame. 'They told us before the start of their operations that it wouldn't affect us, but the effects are undeniable now,' Mr Tambiling told AFP. 'Pangolins, warthogs, birds are disappearing. Flowers as well.' A biodiversity hot spot, Palawan also holds vast deposits of nickel, needed for everything from stainless steel to electric vehicles. Once the world's largest exporter of the commodity, the Philippines is now racing to catch up with Indonesia. In 2021, Manila lifted a nine-year ban on mining licences. Despite promised jobs and tax revenue, there is growing pushback against the sector in Palawan. In March 2025 , the island's governing council unanimously passed a 50-year moratorium on any new mining permits. 'Flash floods, the siltation of the sea, fisheries, mangrove areas... We are witnesses to the effects of long-term mining,' Ms Nieves Rosento, a former local councillor who led the push, told AFP. Environmental rights lawyer Grizelda Mayo-Anda said the moratorium could stop nearly 70 proposed projects spanning 240,000 ha . 'You have to protect the old-growth forest, and it's not being done,' she said. From 2001 to 2024, Palawan – dubbed the country's 'last ecological frontier' – lost 219,000 ha of tree cover, more than any other province, in part due to mining, according to Global Forest Watch. 'Fearsome' flooding In southern Palawan's Brooke's Point, a Chinese ship at a purpose-built pier waits for ore from the stockpile overlooking Mr Tambiling's farm. Mining company Ipilan says increased production will result in greater royalties for i ndigenous people and higher tax revenues, but that means little to Mr Tambiling's sister Alayma. The single mother-of-six once made 1,000 pesos (S$20) to 5,000 pesos a day selling lobster caught where the pier now sits. 'We were surprised when we saw backhoes digging up the shore,' she told AFP, calling a one-time compensation offer of 120,000 pesos insulting. 'The livelihood of all the i ndigenous peoples depended on that area.' On the farm, Mr Tambiling stirred rice paddy mud to reveal reddish laterite he says is leaking from the ore heap and poisoning his crops. Above him, swathes of the Mantalingahan mountains have been deforested, producing floods he describes as 'fearsome, deep and fast-moving '. Ipilan has faced protests and legal challenges over its logging, but its operations continue. Calls to parent company Global Ferronickel Holdings were not returned. For some in Palawan, the demand for nickel to power electric vehicles has a certain irony. 'You may be able to... eliminate pollution using electric vehicles,' said Ms Jeminda Bartolome, an anti-mining advocate. 'But you should also study what happens to the area you are mining.' 'First-class municipality' In Bataraza, the country's oldest nickel mine is expanding, having secured permission before the moratorium. Rio Tuba employees armed with brooms, goggles, hats and scarves are barely visible through reddish dust as they sweep an access road that carries 6,000 tonnes of ore destined for China each day. Company senior vice president Jose Bayani Baylon said mining turned a barely accessible malarial swamp into a 'first-class municipality'. 'You have an airport, you have a port, you have a community here. You have a hospital, you have infrastructure which many other communities don't have,' he told AFP. He dismisses environmental concerns as overblown. With part of its concession tapped out, the company is extending into an area once off-limits to logging but since rezoned. Thousands of trees have been cleared since January, according to locals, but Mr Baylon said 'under the law, for every tree you cut, you have to plant 100'. The company showed AFP a nine-hectare plot it spent 15 years restoring with native plants. But it is unclear to what degree that will be replicated. Mr Baylon concedes some areas could become solar farms instead. 'Four kilos of rice' Nearby, i ndigenous resident Kennedy Coria says mining has upset Mount Bulanjao's ecosystem. 'Honeybees disappeared where we used to find them. Fruit trees in the forest stopped bearing fruit,' the father-of-seven said. A fifth of the Philippines' i ndigenous land is covered by mining and exploration permits, according to rights group Global Witness. Legally, they have the right to refuse projects and share profits, but critics say the process is rarely clear. 'There are i ndigenous peoples who have not received any royalties for the past 10 years,' said Ms Rosento. Mr Coria, who can neither read nor write, said he must sign a document each year when accepting what he is told is his share of Rio Tuba profits. 'We get about four kilos of rice from the community leader, who tells us it came from the company,' he said. Rio Tuba said funds are distributed in coordination with the National Commission on Indigenous People (NCIP), which is meant to represent the communities. But some say it acts in the interests of miners, attempting to persuade locals to accept concessions and the terms offered by companies. The NCIP referred questions to multiple regional offices, none of which replied. The government's industry regulator declined interview requests. While Palawan's moratorium will not stop Rio Tuba's expansion or Ipilan's operations, supporters believe it will slow further mining. Mr Ryan Maminta, a councillor who backed the moratorium, said it already halted one expansion. There are looming legal challenges, however. A recent Supreme Court decision struck down a mining ban in Occidental Mindoro province. Backers remain confident though, and Ms Rosento said the council would stand firm. 'Responsible mining is just a catchphrase,' she said. AFP
