China’s artificial intelligence chipmaker Shanghai Biren Technology made a powerful entrance into public markets, with its shares jumping more than 100% on their first day of trading in Hong Kong. The blockbuster debut marks Hong Kong’s first IPO of 2026 and adds momentum to what many expect will be another busy year for technology listings in the city.
Biren’s shares began trading at HK$35.70, well above the offer price of HK$19.60, and climbed as high as HK$42.88, representing a gain of nearly 120% at the peak of the session. The strong demand highlights investor appetite for Chinese artificial intelligence and semiconductor companies, even as global technology markets remain shaped by geopolitical tension and export controls.
A Strong Follow-Up to Hong Kong’s 2025 Market Revival
Biren’s listing comes after a standout year for Hong Kong’s equity market. In 2025, companies raised $36.5 billion through 114 new listings, the highest annual total since 2021 and more than three times the amount raised in 2024. Much of that recovery was driven by interest in AI, chipmaking, and advanced technology firms, areas where China is investing heavily to reduce reliance on foreign suppliers.
The success of Biren’s IPO reinforces the view that Hong Kong remains the preferred offshore fundraising hub for Chinese technology firms, particularly those unable or unwilling to pursue U.S. listings.
Heavy Oversubscription Signals Strong Confidence
Investor demand for Biren shares was overwhelming. Institutional investors applied for nearly 26 times the number of shares available, while the retail portion was oversubscribed by more than 2,300 times, according to exchange filings.
In total, Biren raised HK$5.58 billion (about $717 million) by selling 284.8 million H shares at the top end of its marketed price range. Based on the offer price, the company entered the market with a valuation of roughly HK$46.9 billion, calculated on 2.396 billion shares outstanding.
Such strong interest reflects confidence not only in Biren itself, but also in China’s broader push to build a self-sufficient technology ecosystem.
What Biren Does — and Why It Matters
Founded in 2019, Shanghai Biren Technology focuses on developing general-purpose graphics processing units (GPUs) and intelligent computing systems designed for artificial intelligence and high-performance computing.
GPUs are a critical component of modern AI systems. They power tasks such as data analysis, machine learning, and large-scale model training. Today, the global GPU market is dominated by U.S. companies, most notably Nvidia, whose chips are widely used in data centers and AI applications.
Biren first gained national attention in 2022 with the launch of its BR100 chip, which it promoted as a domestic alternative to advanced U.S.-made processors. While Biren’s products are still developing, the company is seen as part of China’s long-term strategy to build homegrown computing power.
The company’s leadership brings strong industry experience. Co-founder Zhang Wen previously served as president at AI firm SenseTime, while Jiao Guofang has worked at major technology companies including Qualcomm and Huawei.
IPO Proceeds Focused on Growth
According to its IPO prospectus, Biren plans to use most of the funds raised for research and development, as well as for expanding commercial operations. Continued investment is essential in the chip industry, where progress depends on rapid innovation and long development cycles.
The prospectus also outlined several risks. One of the most significant is U.S. export restrictions. Biren was added to the U.S. government’s Entity List in October 2023, limiting its access to certain advanced technologies and suppliers. This could slow product development or raise costs.
Despite these challenges, the company highlighted strong policy support from Beijing and growing demand from Chinese enterprises looking for local alternatives to foreign chips.
High-Profile Backers Add Credibility
Biren’s IPO attracted several well-known cornerstone investors, including Qiming Venture Partners, Ping An Life Insurance, and 3W Fund. Their participation helped anchor the deal and boosted confidence among other investors.
Cornerstone backing is often viewed as a vote of confidence in both the company’s strategy and its long-term prospects, especially in sectors as capital-intensive as semiconductors.
A Crowded AI and Chip IPO Pipeline Ahead
Biren’s debut appears to be just the beginning of a busy year. According to Hong Kong Exchange filings, seven companies submitted listing applications on January 1 alone, signaling strong early momentum for 2026.
Among them is xTool Innovate, which applied for a main board listing and appointed Morgan Stanley and Huatai Financial Holdings as joint coordinators.
Separately, Chinese internet giant Baidu confirmed that its AI chip unit Kunlunxin has filed for a Hong Kong IPO, following reports that surfaced in December. Other AI-focused companies, including Zhipu AI and Iluvatar CoreX, are expected to debut soon, with listings scheduled as early as January 8.
Different AI Paths: China vs. the U.S.
Winston Ma, an adjunct professor at NYU School of Law and a former executive at China’s sovereign wealth fund, offered a broader perspective on the trend.
He noted that Chinese AI startups are moving to public markets faster than their U.S. counterparts, helped by supportive government policies, clearer revenue paths from enterprise customers, and valuations that better fit current IPO conditions.
Ma also pointed out a fundamental difference in approach. In China, AI development is often focused on practical use across industries, such as manufacturing, finance, and logistics. In the U.S., development tends to be more cautious and private, with greater emphasis on long-term breakthroughs and tight control over advanced models.
What Biren’s IPO Means for Investors and Markets
Biren’s explosive debut sends a strong signal: investor interest in Chinese AI and semiconductor firms remains robust, despite regulatory and geopolitical pressures.
For Hong Kong, the listing strengthens its role as the main gateway for Chinese technology companies seeking international capital. The city benefits from proximity to mainland China while offering global investors a familiar legal and trading environment.
However, sustainability remains the key question. Much of the enthusiasm depends on whether global investors—particularly large institutions and sovereign wealth funds—continue to believe in China’s ability to build competitive AI technology under export restrictions.
In the near term, the IPO pipeline suggests strong deal flow. Over the longer term, performance will depend on execution: whether companies like Biren can deliver reliable products, win customers, and narrow the technology gap with established global leaders.
For now, Biren’s debut has set an optimistic tone for 2026’s IPO market, especially for AI and chipmakers, and reinforces the idea that innovation-driven listings are once again at the center of Hong Kong’s financial story.
