Silicon Photonics Chip Maker Xihe Technology's STAR Market IPO to Be Reviewed
The Shanghai Stock Exchange's listing review committee will convene its 52nd meeting of 2026 on October 14 to review the initial public offering of Xihe Technology, a silicon photonics chip maker based in Shanghai. The company's STAR Market IPO application was accepted on June 30, 2026, and entered the inquiry stage on July 7. In a prospectus disclosed on September 28, it removed a planned 600 million yuan supplementary working capital project.
Xihe Technology focuses on the development and commercialization of silicon photonics integration, offering high-performance silicon photonic chips with rates covering 400G, 800G and 1.6T, and has expanded to 3.2T and 6.4T NPO/CPO transceiver integrated chips. According to Frost & Sullivan, the company held about 13% of the global silicon photonic chip market in 2025, making it one of the world's leading independent third-party silicon photonic chip designers.
Driven by accelerating global data center construction and surging AI computing demand, the company's revenue grew rapidly. From 2023 to 2025, Xihe Technology's revenue was approximately 6.227 million yuan, 70.9501 million yuan and 461 million yuan, respectively, turning profitable in 2025 with net profit attributable to shareholders of about 176 million yuan. In the first half of 2026, revenue reached about 569 million yuan, exceeding its full-year 2025 revenue, and net profit was about 161 million yuan, roughly 91.48% of the prior year's total.
However, high customer and supplier concentration has drawn attention. During the reporting period, sales to the top five customers accounted for 100%, 98.41%, 96.4% and 92.26% of total revenue, with the largest customer's share falling from 90.9% to 55.55%. Purchases from the largest supplier rose from 54.54% to 90.08%. The exchange raised concerns about customer concentration in two rounds of inquiries; the company responded that the concentration is consistent with industry characteristics and that its customer structure is gradually becoming more diversified.
