Longsys Electronics funnels 78% of IPO proceeds into AI memory R&D as revenue surges 136%

Longsys Electronics just pulled in about $903 million from its Hong Kong IPO, and founder Cai Huabo has a very specific plan for the cash: pour 78% of it into research and development for AI memory chips. That’s roughly $704 million earmarked for chip design and next-generation memory products. The move marks Longsys’s formal pivot from being a memory module assembler to building its own semiconductor memory brand. The numbers backing the bet First-half 2026 revenue hit 24.1 billion yuan, up 136.3% year-over-year. Net profit for the same period reached 10.7 billion yuan, a more than 260-fold increase compared to the prior year. The company, listed under ticker 301308.SZ, completed its Hong Kong listing on September 8, raising approximately HK$7.08 billion. Cai Huabo retains about 39% ownership of the firm through direct holdings and investment vehicles. Longsys claims the title of the world’s second-largest independent memory product maker by revenue, trailing only integrated giants like Samsung and SK Hynix, and sits at the top of China’s independent memory segment. Edge AI as the growth thesis Longsys is targeting edge AI storage solutions: memory products designed to work at the...