Impact of Greatek Semiconductor's 7.5 Billion Yuan IPO on Semiconductor Industry Valuation and Growth Enterprise Market (GEM) Investment Opportunities

Greatek Semiconductor’s GEM IPO application (seeking 7.5 billion yuan in financing) was accepted by the Shenzhen Stock Exchange on December 19, 2025, with GF Securities as the sponsor [1][2]. As the first mass-produced 12-inch wafer manufacturing enterprise in Guangdong Province, Greatek focuses on analog and mixed-signal specialty process wafer foundry, and also has 12-inch silicon photonics chip process technology. It is one of the few domestic enterprises that can provide a “trinity” foundry service integrating integrated circuits, power devices, and optoelectronic fusion [1].

The global semiconductor industry is in a recovery cycle. Omdia data shows that global semiconductor revenue increased by 14.5% quarter-on-quarter to 216.3 billion US dollars in Q3 2025, exceeding the 200 billion US dollar mark for the first time [4]. Analog chips and wafer foundry have become hot tracks in the industry. Micron Technology (MU) expects its Q4 2025 gross margin to reach 68% due to surging demand for AI memory, and its stock price has risen by 168% cumulatively [5], reflecting the high growth potential of this field.

1. Semiconductor Industry Valuation Demonstration Effect
   : Greatek’s latest post-investment valuation is approximately 25.3 billion yuan [3], which will provide a valuation reference for domestic enterprises in the analog chip and wafer foundry fields. The valuation performance of international enterprises such as Micron Technology (TTM P/E 26.24) and Tower Semiconductor (TTM P/E 68.88) shows that this track has high valuation elasticity [6]. Combined with the industry recovery background, Greatek’s IPO may further push up the valuation center of the semiconductor industry.

2. Enhanced Inclusiveness of GEM
   : Greatek chose to apply the third set of GEM listing standards, which focus more on R&D investment and growth potential rather than short-term profitability [7]. This move will attract more high-quality semiconductor enterprises to list on GEM, enhancing the sector’s technological attributes and investment attractiveness.

3. Market Sentiment and Sector Linkage
   : On December 17, 2025, the GEM Index rose sharply by 3.39%, with the semiconductor sector being an important driving force [8]. As a major event in the sector, Greatek’s IPO will further increase market attention and liquidity for GEM semiconductor enterprises.

• Opportunities
  : The recovery of the global semiconductor industry, the growth of analog chips driven by AI demand, and the continuous support of the country for the semiconductor industry bring investment opportunities to the GEM semiconductor sector. Greatek’s IPO will attract more capital attention, accelerating industry integration and technological upgrading.
• Risks
  : The semiconductor industry is greatly affected by global economic cycles, policy changes, and technological iterations [1][2][3][4][5][6][7][8]; Greatek has not yet disclosed detailed financial data, so there is uncertainty about the final valuation; excessive market expectations of “changing the industry pattern” may lead to short-term fluctuations.

Greatek Semiconductor’s 7.5 billion yuan IPO is an important financing event in the domestic semiconductor industry, reflecting the country’s continuous support for the semiconductor industry. Its valuation demonstration effect on the semiconductor industry and the enhancement of GEM’s inclusiveness will bring long-term positive impacts to the sector. Investors need to pay attention to industry recovery trends, technological iteration progress, and corporate financial disclosure, and carefully evaluate investment risks and opportunities.