Xihe Technology, an independent third-party manufacturer of silicon photonics integrated chips established in May 2021, successfully transitioned into a joint-stock limited company in November 2025. It is now actively progressing towards its Initial Public Offering (IPO) on the STAR Market, with Guotai Haitong Securities serving as its sponsor. Prior to the issuance, the actual controller, Wu Aimin, collectively held 45.3944% of the company's voting rights. Key institutional shareholders include Yuanhe Yuandian, among others. In December 2025, Xihe Technology completed its latest round of external financing, achieving a post-investment valuation of approximately RMB 3.7 billion.

The company specializes in the research, development, and commercialization of silicon photonics integrated technology, operating under a Fabless model. Its product offerings span a wide range of speeds, including 400G, 800G, and 1.6T, and have successfully expanded into the 3.2T and 6.4T NPO/CPO transceiver integrated chip sectors. Its downstream customer base comprises globally leading optical module and cloud service providers. In 2025, Xihe Technology secured approximately a 13% market share in the global silicon photonics integrated chip market.

For this IPO, the company aims to raise RMB 2.43 billion to fund key projects such as industrialization and research and development (R&D). Financial data reveals that from 2023 to 2025, Xihe Technology's revenues were RMB 6.227 million, RMB 70.9501 million, and RMB 461 million, respectively, with net profits of RMB -28.3405 million, RMB -22.4625 million, and RMB 176 million, respectively, successfully turning profitable in 2025. The gross profit margins for its main business were 80.78%, 50.75%, and 62.82%, respectively.

Notably, the company exhibits a high degree of customer concentration, with sales to the top five customers accounting for 100%, 98.41%, and 96.40% of its total sales, respectively. As of the end of 2025, R&D personnel constituted 37.11% of the workforce, with cumulative R&D investment over the past three years reaching RMB 143 million, representing 26.59% of cumulative revenue. The company had approximately RMB 264 million in cash and cash equivalents on hand.

Silicon photonics integrated technology, as the core technological foundation for next-generation optical interconnect architectures such as NPO, CPO, and OIO, presents vast development prospects. In 2025, the global market size for silicon photonics integrated chips reached RMB 3.49 billion, with expectations to grow to RMB 36.39 billion by 2030, representing a compound annual growth rate of 59.83%.

In the competitive landscape of the industry, manufacturers are primarily categorized into three groups: comprehensive platform manufacturers, self-developed manufacturers led by optical module giants, and independent third-party manufacturers, with Xihe Technology falling into the latter category. However, some of its downstream optical module customers are actively developing their own chips. If these customers reduce external purchases and Xihe Technology fails to maintain its technological edge or successfully explore new customer scenarios, its performance may be adversely affected. This is also a key focus in the regulatory's first round of inquiries.