{
  "id": 6685370,
  "title": "Enflame shares soar 188% on Shanghai debut as Nvidia challenger taps investor fever for AI",
  "url": "https://urgent.news/2026/09/11/enflame-shares-soar-188-on-shanghai-debut-as-nvidia-challenger-taps-6685370",
  "topic": "ai",
  "section": "AI",
  "published": "2026-09-11T01:45:56.000Z",
  "source": {
    "name": "South China Morning Post",
    "slug": "south-china-morning-post",
    "url": "https://www.scmp.com/tech/tech-trends/article/3367124/enflame-shares-soar-188-shanghai-debut-nvidia-challenger-taps-investor-fever-ai"
  },
  "original_language": "en",
  "account": "Enflame Technology, a Chinese artificial intelligence chipmaker and rival to Nvidia, experienced an extraordinary surge in its share price following its debut on the Shanghai stock exchange. The company's stock rose by 188 percent, reaching a market capitalisation of 176.4 billion yuan (approximately US$26.3 million). The opening price of 410 yuan was significantly higher than its initial issue price of 142.18 yuan, reflecting strong investor interest in domestic AI chip champions.\n\nEnflame was the final member of China's \"four little dragons\" in the sector to go public, making its impressive performance all the more noteworthy. Despite the broader market decline, with the Star 50 Index falling 1.3 percent and the CSI 300 Index dropping 0.9 percent, Enflame's gains stood out. The company raised around 6.12 billion yuan through the sale of 43.04 million shares, valuing the firm at approximately 61 billion yuan before trading commenced.\n\nThe initial public offering (IPO) was oversubscribed by a staggering 4,073 times, with about 7 million online investors submitting orders for 42.1 billion yuan worth of shares. The allocation rate for individual investors was a mere 0.025 percent, the lowest on the mainland market this year. This strong market response underscores Enflame's significance, alongside competitors Moore Threads, Biren Technology, and MetaX, in Beijing's efforts to achieve semiconductor self-sufficiency amidst US restrictions on advanced chip exports.\n\nEarly investors in Enflame have witnessed a substantial increase in their paper wealth. Tencent, the company's largest institutional backer with a 20 percent stake, saw the value of its investment rise to nearly 35 billion yuan. Other notable investors include memory chipmaker GigaDevice, smartphone and electric vehicle manufacturer Xiaomi, chip packaging firm Tongfu Microelectronics, and telecommunications giant ZTE.\n\nFounded in 2018, Enflame has rapidly expanded its business in response to surging domestic demand for AI computing power. The company anticipates revenue to reach between 2.3 billion and 3 billion yuan in the first nine months of 2026, marking a year-on-year increase of up to 455 percent according to its prospectus. However, Enflame remains unprofitable, as it continues to invest heavily in research and development. Chairman Zhao Lidong expressed optimism, stating that the company is on track to achieve profitability as early as 2026 or 2027, contingent on orders, product delivery schedules, staff costs, and R&D plans.",
  "summary": "Enflame Technology, one of the major challengers to Nvidia in China, saw its share price surge 188 per cent in its Shanghai trading debut on Friday, giving the Tencent Holdings-backed artificial intelligence chipmaker a market capitalisation of 176.4 billion yuan (US$26.3 million). The Shanghai-based company opened at 410 yuan, up from its issue price of 142.18 yuan. The performance reflects…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 6,
    "also_reported_by": [
      {
        "outlet": "CNA - Business",
        "title": "Tencent-backed Enflame triples in Shanghai debut as China AI chip bets surge",
        "url": "https://urgent.news/2026/09/11/tencent-backed-enflame-triples-in-shanghai-debut-as-china-ai-chip-6720222",
        "published": "2026-09-11T01:33:00.000Z"
      },
      {
        "outlet": "SCMP Tech",
        "title": "Enflame shares soar 188% on Shanghai debut as Nvidia challenger taps investor fever for AI",
        "url": "https://urgent.news/2026/09/11/enflame-shares-soar-188-on-shanghai-debut-as-nvidia-challenger-taps",
        "published": "2026-09-11T01:45:56.000Z"
      },
      {
        "outlet": "CNBC World",
        "title": "Chinese Nvidia rival Enflame soars 206% on stock market debut as AI demand stays hot",
        "url": "https://urgent.news/2026/09/11/chinese-nvidia-rival-enflame-soars-206-on-stock-market-debut-as-ai",
        "published": "2026-09-11T01:53:08.000Z"
      },
      {
        "outlet": "New Straits Times",
        "title": "Tencent-backed Enflame triples in Shanghai debut as China AI chip bets surge",
        "url": "https://urgent.news/2026/09/11/tencent-backed-enflame-triples-in-shanghai-debut-as-china-ai-chip",
        "published": "2026-09-11T03:33:51.000Z"
      },
      {
        "outlet": "Tech in Asia",
        "title": "Tencent-backed AI chipmaker Enflame jumps 188% on debut",
        "url": "https://urgent.news/2026/09/11/tencent-backed-ai-chipmaker-enflame-jumps-188-on-debut",
        "published": "2026-09-11T04:01:44.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}