China's EDA Firm Primarius Raises CNY 1.23 Billion in Shanghai IPO

Technology Author: EqualOcean News Dec 28, 2021 04:10 PM (GMT+8)

Its shares surged 50% on the first day of trading on the city's tech board – the Star Market.

Semiconductor piece

On December 28, Primarius became the first-ever publicly listed Chinese EDA company. The company's stock is now trading under code 688206 in Shanghai.

Primarius Technologies is an EDA company, which is active in the most upstream part of the semiconductor industry. The global EDA market is an oligopoly, with no Chinese companies in the top 5. The global market has shown a steady upward trend, benefiting from the technological iteration of advanced processes and the strong downstream demand.

The company's EDA tools can support advanced process nodes up to 3 nm and various semiconductor process routes such as FinFET and FD-SOI. Its products have long been adopted by tier 1 fabs such as TSMC, Samsung, and SMIC in their manufacturing processes. The company holds 24 invention patents and 61 software copyrights, among other IPs.

In 2020, Primarius' operating income was CNY 137.5 million, and the net profit was CNY 29 million. The issuance price was CNY 28.28 per share, with a PE ratio of 575.28. It opened the first trading session at CNY 55 per share, indicating the market's optimism.