Leadyo Shanghai approved for STAR board IPO

The China Securities Regulatory Commission approved the initial public offering of Leadyo (Shanghai) IC Testing Co Ltd on the STAR board, the second Jiading enterprise in the integrated circuit industry to list after Shanghai Simgui Technology Co.

The company aims to raise 560 million yuan (US$83.8 million) to build a new factory and add 100 sets of integrated circuit testing equipment.

The IC industry chain grew 5 percent year on year in the first half year despite the novel coronavirus. Although Leadyo’s annual output value is not high compared with the world’s leading enterprises, it has developed into the largest third-party IC testing chip service provider in China.

The company has grown vigorously over the past four years in Jiading Industrial Zone.

When Leadyo set its base in the Jiading Industrial Zone, the enterprise was seeking growth and eager to expand the production. However, the company faced problems with land acquisition and construction. The zone freed up 3,000-square-meter space for Leadyo’s development.

“The reason why we settled here is that Jiading has gathered the main customer groups in the Yangtze River Delta region, while the district owns a National Intelligent Sensor Innovation Center. Many chip companies will take shape here in the future, which will build a good ecosystem for the industry chain,” said Zhang Yifeng, the company’s general manager.