YMTC assembles 31-member IPO tutoring team with CITIC, China Securities

YMTC, China's leading NAND flash memory maker, appointed 31 tutors from CITIC Securities and China Securities for its first-phase IPO preparation, the CSRC said, advancing toward what could be one of China's largest semiconductor listings.

"The tutoring task force conducted on-site due diligence, organized centralized training sessions and communicated on special issues in line with regulatory requirements," according to the CSRC announcement published on its website.

The first-phase tutoring ran from May 19 to June 30, with 31 members from the two securities firms. CITIC Securities (06030.HK), one of the two tutoring institutions, expects interim net profit to surge nearly 70% year over year, according to a related announcement.

YMTC's IPO would provide capital to expand 3D NAND production and develop its proprietary Xtacking architecture, competing against Samsung Electronics, SK Hynix and Micron Technology. The CSRC tutoring phase is a mandatory regulatory step before a formal listing application, though the company has not disclosed a target exchange or timeline.

Founded in 2016, YMTC is China's largest NAND flash manufacturer and has been under US export restrictions since October 2022, limiting its access to advanced chipmaking equipment. The company has focused on developing its Xtacking architecture, which stacks memory cells vertically to improve density and performance.

The tutoring process overseen by the CSRC involves guiding companies through disclosure obligations, corporate governance standards and regulatory requirements before a formal IPO filing. The involvement of both CITIC Securities and China Securities — two of China's largest investment banks — suggests the offering could be substantial.

This article is for informational purposes only and does not constitute investment advice.