On 30 September 2020, ACM Research (Shanghai), Inc.(ACM Shanghai) received approval from the 82nd meeting of the Listing Committee of the Science and Technology Innovation Board of the Shanghai Stock Exchange for its proposed initial public offering of shares on the Sci-Tech Innovation Board (STAR Market), becoming the first U.S. listed company to have its subsidiary’s A-share IPO application approved. The project is a major breakthrough, providing a new path for the return of U.S.-listed Chinese companies to the A-share Market.
Founded in 2005, ACM Shanghai specializes in the research, development, production and sales of specialized semiconductor equipment, including semiconductor cleaning equipment, semiconductor electroplating equipment and advanced packaging wet processing equipment. ACM Research, Inc. (NASDAQ: ACMR) is the controlling shareholder of ACM Shanghai. In this IPO project, ACM Research spins off its major assets and all the business and lists them on the STAR Market. After this IPO, ACM Shanghai and its controlling shareholder ACM Research will be listed on the Shanghai Stock Exchange and the NASDAQ Stock Market, respectively.
As the issuer's counsel, King & Wood Mallesons (KWM) provided legal services to ACM Shanghai in the entire process, including multiple rounds of pre-IPO financing, employee share incentive plans, and IPO on the STAR Market. KWM was fully involved in the design and implementation of the project, providing ACM Shanghai with comprehensive, systematic, professional and efficient legal services. As the first A-share IPO project for a U.S. listed company return to the A-share Market, KWM assisted ACM Shanghai and its sponsor in communicating with the Shanghai Stock Exchange on the listing, and provided professional advice and solutions on the significant legal issues involved in the project. Following the privatization of Trina Solar's ADS and its return to the STAR Market, this project provided a new path for U.S. listed companies to return to the A-share Market.
The project is led by Zhao Xiaohong with the STAR Market listing business responsible by Xu Hui, Chen Fuan and Wang Anrong, and the pre-IPO financing business responsible by Andrew Fu.