SMIC Resumes Trading After Successful Acquisition Announcement

Summary:

• SMIC to resume trading on September 9, following a brief suspension due to a strategic acquisition.
• The company plans to acquire 49% equity in SMIC Northern, enhancing its operational capabilities.
• As of August 29, SMIC’s A-share market value exceeded 916.5 billion yuan.

On September 8, 2025, leading semiconductor manufacturer SMIC announced its decision to resume trading of its shares starting September 9, following a planned suspension on September 1 linked to a significant acquisition. This strategic move underscores SMIC’s commitment to expanding its influence in the semiconductor market.

Initially, SMIC suspended trading to facilitate the acquisition of 49% equity in its controlling subsidiary, SMIC Northern Integrated Circuit Manufacturing. This initiative aims to bolster SMIC’s operational capacity and solidify its market position. A board meeting held on September 8 confirmed the relevant proposals for this transaction.

The decision aligns with regulatory protocols outlined by the Shanghai Stock Exchange, which allows the company to resume trading following an application for lifting the suspension. Investors can look forward to SMIC’s shares returning to the market, promoting stability and investor confidence.

Founded in 2013, SMIC Northern specializes in semiconductor manufacturing, which includes the production of silicon wafers and various compound semiconductor chips. Its services range from integrated circuit chip manufacturing—with a focus on digital circuits with line widths of 28 nanometers or less—to needle testing, photomask manufacturing, and packaging. Furthermore, it provides crucial development and technical services associated with integrated circuits.

As of the last market close on August 29, SMIC’s A-shares were valued at 114.76 yuan, leading to a market capitalization of over 916.5 billion yuan. Furthermore, the value of SMIC’s Hong Kong stocks surpassed 560 billion yuan, reflecting the strong market position and financial health of the company.

This resumption of trading is not just a routine operational shift; it represents SMIC’s ongoing efforts to enhance its technological capabilities and competitiveness in a rapidly evolving semiconductor landscape. The acquisition of additional equity in SMIC Northern is part of a broader strategy to fortify its supply chain and increase production capacity, given the growing global demand for semiconductor solutions.

Investors are keenly observing this development, as the semiconductor industry is crucial to various technological sectors, including artificial intelligence, mobile communications, and automotive technologies. SMIC’s proactive steps to increase its holdings in SMIC Northern signify a robust growth strategy that aims to leverage synergies between its operations and those of its subsidiary.

As the world becomes increasingly dependent on advanced semiconductor technologies, companies like SMIC are positioned to play pivotal roles in shaping the future of innovation and technology. The upcoming trading resumption on September 9, combined with the strategic acquisition, bodes well for SMIC’s prospects as it intends to meet the burgeoning demands of the global market.

In conclusion, SMIC’s decision to resume trading and pursue the acquisition of a significant interest in SMIC Northern reflects a calculated and strategic response to the dynamic demands of the semiconductor industry. Stakeholders and investors alike should monitor further developments, as this could lead to increased stability and growth prospects for SMIC and the broader market.