Torrance jumps 859% on debut after 1.05B CNY chip IPO
What's the deal? Torrance Precision ManufacturingDealroom has a profile for this one. Try Dealroom → (301583.SZ), a maker of precision metal parts for semiconductor equipment, closed its first trading day up 858.85% at 216.7 CNY on July 10, 2026, giving it a market value of 40.19 billion CNY. The stock opened 800% higher and hit an intraday gain of over 1,070%, triggering a temporary halt. Investors who won one lot of 500 shares booked a peak paper profit of 120,900 CNY.
What led up to it? The company raised 1.05 billion CNY by issuing 46.37 million new shares on Shenzhen's ChiNext board, priced at a 44.82 price-to-earnings ratio. Demand was intense: the online allotment rate was just 0.02%, and strategic investors included a private fund under China International Capital Corporation.
What led to the IPO? Founded in 2017 in Jiangsu, Torrance supplies parts for etching, thin-film deposition, and advanced packaging. Revenue grew from 291 million CNY in 2023 to 720 million CNY in 2025, a compound annual rate of 57.39%, driven by China's push to localise chip equipment. Net profit was more volatile, at 15.3 million CNY, 106 million CNY, and 98.2 million CNY over the same period.
What could go wrong? Torrance leans heavily on a few clients. Its top five customers supplied more than 90% of revenue for three straight years, with Naura and AMEC alone accounting for over 80%. Key supply contracts expire at the end of 2026.
Who cashed in? Before the IPO, Torrance completed four funding rounds between 2022 and 2025, raising 570 million CNY and lifting its valuation from 1.06 billion to 3.09 billion CNY. Liu Zhihua, brother-in-law of controller Qian Ke, sold shares three times through his firm Jiangxi Lide, taking out 645 million CNY for nearly 28 times his return.
The signal: Torrance's surge extends a hot streak for chip-equipment parts listings — Zhenbao Technology jumped over 1,200% on debut just weeks earlier. Sinolink Securities sees a "golden window" for domestic substitution as Chinese firms advance technically, with equipment makers' order books swelling into 2026.
Read more: Jiemian News
Image credit: Kitmondo.com
