China Zhongji Investment completes targeted investment in Shanghai Xinyang's private placement
Recently, China Zhongji Investment completed a targeted investment in Shanghai New Yang Semiconductor Materials Co., Ltd. ("Shanghai New Yang", stock code: 300236.SZ). Shanghai New Yang is a leading Chinese enterprise in key process materials for integrated circuit manufacturing and packaging and testing, and has become a core supplier to semiconductor manufacturing and packaging and testing companies such as SMIC, ChangXin, CXMT, Tongfu, Huatian, etc.
Established in July 1999, Shanghai New Yang was listed on the Shenzhen Stock Exchange's ChiNext board in June 2011. The company has been deeply involved in the semiconductor materials industry, focusing on cutting-edge international technologies since its inception. It is technology-driven, caters to the needs of the domestic semiconductor industry, fills domestic technological gaps, and possesses a gene for technological and product innovation. The company has undertaken research and development and industrialization tasks for national major science and technology projects (02 projects) many times, and has won the National 02 Project System Innovation Award. It has applied for and been granted 210 national patents. Through continuous research and development innovation, Shanghai New Yang has formed two core technologies with complete independent and controllable intellectual property rights: electronic electroplating and electronic cleaning. Closely focusing on these two core technologies, the company has developed more than 140 types of electronic electroplating and electronic cleaning functional chemical materials. Its products can meet the process requirements of various technical nodes in the 90-28nm full process of chips, and are widely used in integrated circuit manufacturing, 3D-IC advanced packaging, and traditional IC packaging and testing. It has become the baseline material for 25 chip production lines nationwide. Shanghai New Yang has also gradually become a well-known brand in China for semiconductor functional chemical materials and application technologies and services. With the large-scale industrialization of core products in the fields of electronic electroplating and electronic cleaning, the company continues to break through to the upstream of the wafer manufacturing industry chain, further entering the high-end photoresist field, focusing on the research and development of ArF and KrF thick-film photoresist products with complete independent and controllable intellectual property rights. Currently, the key parameter indicators of these products have reached or even exceeded the level of international competitors, and the research and development has been basically completed, and is about to form the company's third core technology. Due to the single adaptability of photoresist products and the deep binding relationship with partners, after completing verification and mass production, this product will obtain stable orders, becoming a new business growth point and support point for the company. In addition, the company is also cooperating with other companies to develop wet photoresist and polishing liquids, and has made breakthroughs in some core technologies. In addition to its main business, Shanghai New Yang's forward-looking investment layout in the semiconductor industry chain is also quite eye-catching. In 2020, the company's equity investment in HLS and SMIC resulted in their listing on the STAR Market, achieving significant profits. At the same time, the company has also invested in upstream and downstream companies in the industry chain such as New Yang Silicon Seal, Xinke Micro, Shengjisheng, Boyan Electronics, and YMTC. While supplementing its business, the main businesses of these equity-invested companies have good development prospects, and the possibility of them being listed independently in the future cannot be ruled out. Wu Fushun, Partner and Managing Director of China Zhongji Investment, said that semiconductor materials are the cornerstone of the semiconductor industry, and every step of integrated circuit chip manufacturing requires the use of corresponding materials. Shanghai New Yang, with its strong independent development capabilities, has mastered integrated circuit manufacturing and packaging and testing key process materials with complete independent and controllable intellectual property rights, and is the only domestic supplier of some materials. The company has established a complete product quality and process control system, and has unique control technology in product ultra-purity and ultra-cleanliness. It provides products and services to more than 120 semiconductor packaging and testing companies and more than 20 chip manufacturing companies, and has established long-term and stable cooperative relationships with well-known customers. With the acceleration of the domestication process of semiconductor supporting materials and the company's breakthrough in the photoresist field, the company's performance will see a significant improvement. This investment is believed to bring good returns to investors.
