Market regulators for China’s Shenzhen-based ChiNext board announced approval late on Wednesday of the pending initial public offering (IPO) of the semiconductor unit of Chinese carmaker BYD.
The automaker originally filed for an IPO for BYD Semiconductor in Shenzhen in May 2021. However, in August, the company was forced to halt plans as a firm advising in its IPO process faced a regulatory probe.
The company aims to raise 2 billion yuan ($314.25 million), according to its most recent prospectus.
BYD Semiconductor’s IPO comes as global supply chains face a chip shortage, which originated in the automotive sector.
The division makes and sells power semiconductors, ‘intelligent’ control integrated circuits, ‘intelligent’ sensors, and opto-electronic semiconductors, according to company filings.
- Reuters with additional editing by Jim Pollard