# Henan State Capital Targets XFusion IPO

> Henan state capital bets five years on XFusion: CNY 80 billion valuation, CNY 8 billion IPO on the line this week.
- Title: Henan State Capital Targets XFusion IPO · BigGo Finance
- Summary: Henan state capital bets five years on XFusion: CNY 80 billion valuation, CNY 8 billion IPO on the line this week.
- Keywords: xfusion digital technologies, henan state capital, huawei, shenzhen stock exchange, chinext board, zhengzhou, server market, liquid-cooling servers, ipo, cny 80 billion, cny 8 billion, BigGo Finance
- Source: BigGo Finance — https://finance.biggo.com/news/8d6611a9-7a66-45c4-8d9a-4b431ccd3290
- Author: BigGo Finance
- Published: 2026-11-10T05:26:00+00:00
- Read time: 1 min
- Topics: xfusion digital technologies, henan state capital, huawei, shenzhen stock exchange, chinext board, zhengzhou, server market, liquid-cooling servers, ipo, cny 80 billion, cny 8 billion, finance
## XFusion IPO Review
The Shenzhen Stock Exchange will review XFusion Digital Technologies' IPO application on Nov. 12.
## IPO Valuation and Raise
XFusion plans to raise CNY 8 billion (approximately $1.2 billion) at a valuation of up to CNY 80 billion (approximately $12.0 billion).
## XFusion's Origin
XFusion originated from Huawei's x86 server business, which Huawei spun off in 2.021 and Henan state capital took over.
## 2025 Performance
XFusion reported 2025 revenue of CNY 58.246 billion (approximately $8.7 billion) and net profit of CNY 1.03 billion (approximately $154.4 million).
## Market Position
XFusion ranks second in China's server market with a 14.2% share and first in liquid-cooling servers for four consecutive years.
## Shareholders
Shareholders include the three Chinese telecom carriers' investment arms and the National Structural Adjustment Fund.
## Gross Margin Decline
Gross margin fell from 14.27% in 2023 to 8.58% in 2025, with upstream chip pricing power still the main constraint.
## Zhengzhou Manufacturing
Zhengzhou's Airport Economy Zone attracted over 80 upstream and downstream companies for XFusion's smart manufacturing park.
## Industry Impact
XFusion's success helps push 'Made in Zhengzhou' from contract assembly toward higher-value segments featuring proprietary brands.
## Market Comparison
ChangXin Memory Technologies generated over CNY 1 trillion in paper gains for Hefei state capital, contrasting Henan's potential gains from XFusion.
## Key takeaway

Henan state capital's XFusion Digital Technologies aims for CNY 80 billion valuation after raising CNY 8 billion in an IPO, becoming the largest ChiNext listing since China tightened IPO rules.