Tencent-Backed Chipmaker Enflame Surges Nearly 200% in Shanghai STAR Market Debut

Shares of Tencent-backed Enflame Technology opened at 410 yuan on Shanghai's STAR Market on September 11 — 188% above its 142.18-yuan IPO price — before touching as high as 475 yuan and closing at 397 yuan, a 179% first-day gain, according to Reuters and Bloomberg. The close valued Enflame at roughly 171-185 billion yuan (~$24-26B), more than triple its IPO valuation of about 61.2 billion yuan (~$9.1B). The IPO itself raised 6.12 billion yuan (~$911-913M), with the retail tranche oversubscribed more than 4,000-6,000 times depending on the source. Enflame is the fourth of China's 'AI Chip Four Little Dragons' (alongside Moore Threads, MetaX, and Biren) to go public in 2026, following CXMT's memory-chip listing and Unitree's robotics debut. Tencent accounted for nearly 84% of Enflame's 2025 sales, which grew 37% to 990 million yuan; the company still posted a net loss (adjusted) of 1.20 billion yuan and projects breakeven by 2026-2027. Morgan Stanley analysts said China remains in the 'early stage of a multi-year IPO upcycle' for strategically important chip technology.