---
title: "Approximately 8.9746 million shares of restricted stock are \"pressing down,\" and XIZHI TECH-P, with high growth expectations, is facing a challenge with the lifting of restrictions"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/299574516.md"
description: "XIZHI TECH-P faces approximately 8.9746 million shares of locked-up stock \"pressing down,\" accounting for 9.76% of the total share capital after the over-allotment option is exercised. This batch of shares will be unlocked on October 28, with a market value of about 2.9 billion yuan based on recent closing prices. Previously, the stock price has retreated nearly 80% from its peak, and liquidity is already weak. This concentrated unlocking may cause a new round of impact on the market, putting the company in a challenge of unlocking"
datetime: "2026-09-21T01:04:03.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/299574516.md)
  - [en](https://longbridge.com/en/news/299574516.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/299574516.md)
generator: "portal-rs"
---

# Approximately 8.9746 million shares of restricted stock are "pressing down," and XIZHI TECH-P, with high growth expectations, is facing a challenge with the lifting of restrictions

With the halo of "the first stock of AI optical chips," XIZHI TECH-P (01879) landed on the Hong Kong Stock Exchange, providing a vivid lesson for new investors with an extreme roller coaster of stock prices.

On the first day of listing on April 28, XIZHI TECH, with an issue price of HKD 183.2, soared by 445% at its peak during the day, closing with an astonishing increase of 383.62%, undoubtedly taking the top spot on the list of first-day gains for new stocks in 2026.

The celebration did not stop there—after only a two-day pullback, the stock price surged again, reaching a historical high of HKD 1,050 on the sixth trading day, more than 473% higher than the issue price, with the company's total market value once exceeding HKD 90 billion.

However, the feast came quickly and left even faster. From the high of HKD 1,050, the stock price fell to a low of HKD 228.40 in less than three months, with XIZHI TECH experiencing a nearly "ankle-cut" decline in a downward trend without any support, retracting nearly 80% from its peak and compressing the premium over the issue price to just 24.67%.

Although the stock price has since rebounded, it has remained in a wide fluctuation at low levels until September 7, when the inclusion in the Hong Kong Stock Connect officially took effect—however, good news turned into bad news as it fell 35% in just nine trading days after inclusion, probing near HKD 260.

From a first-day surge of 383% to a nearly 80% drop from the high, from the spotlight of "the first stock of AI optical chips" to the exhaustion of good news after inclusion in the Hong Kong Stock Connect, the roller coaster performance of XIZHI TECH's stock price post-listing can be regarded as a micro capital revelation.

But the real test may still lie ahead: on October 28, approximately 8.9746 million shares held by 20 cornerstone investors (accounting for over 9.76% of the total share capital after the exercise of the over-allotment option) will face unlocking. Based on the closing price of HKD 323.2 on September 18, the market value is approximately HKD 2.9 billion. Once this dispersed equity floods into the market, the already fragile liquidity may face a new round of impact—the sword of Damocles hanging over XIZHI TECH is about to fall.

## From a surge of 473% to "ankle-cut": a grand drama of "thin plate speculation—valuation overdraft—value return"

The "spectacle" of XIZHI TECH's 473% surge in the six trading days after its listing is the result of the combination of several forces: "scarce track expectations + well-known cornerstone lock-up + high IPO sentiment + thin issuance."

From an industrial perspective, optical computing itself is at the narrative forefront of AI infrastructure transitioning from "stacking GPUs" to "solving interconnect power consumption and bandwidth bottlenecks," and the market is willing to price the optoelectronic hybrid route based on long-term potential.

Moreover, XIZHI TECH is the world's first company to achieve large-scale deployment of optoelectronic hybrid computing, with optical interconnect contributing most of its revenue by 2025 and cumulative shipments of optical computing chips ranking among the top. This "validated revenue but still in the early stage" status is easily valued by funds based on track options rather than current PE constraints The scarcity of this track quickly transformed into high enthusiasm during the IPO stage, with the most direct manifestation being the "luxurious lineup" of cornerstone investors. XIZHI TECH-P introduced 20 cornerstone investors, collectively investing approximately $210 million to subscribe for about 8.9746 million shares. The lineup spans international sovereign funds, top long-term asset management firms, and domestic internet and communication giants—featuring national capital such as GIC and Temasek, global long-term giants like BlackRock, Fidelity, Schroders, and Baillie Gifford, as well as industry capital from Alibaba, Lenovo, and ZTE, which are well aware of the AI computing power demand, along with leading local institutions like Hillhouse and Jinglin.

The significance of this list goes far beyond simply "securing quotas"; it is essentially a "trust endorsement." When industry capital bets real money on the prospects of its optical interconnection and optical computing, and when long-term institutions are willing to lock in their stakes during the 18C loss phase, it indicates that the long-term value of XIZHI TECH-P is recognized.

The extremely high subscription multiple is another aspect of XIZHI TECH-P's high enthusiasm during the IPO stage. As an 18C specialized technology channel issuing company, XIZHI TECH-P issued a total of about 13.7952 million H shares before the exercise of the over-allotment option, with the initial allocation of the public offering accounting for 5% and the international placement accounting for 95%. Due to the public offering being oversubscribed by 5784.7 times, a reallocation was triggered, with the public offering adjusted to 20% and the international placement to 80%. The international placement also recorded an oversubscription of 53.83 times, with both retail and institutional investors scrambling for shares.

It is noteworthy that cornerstone investors locked in most of the international placement shares, resulting in a significant "thin plate" characteristic for XIZHI TECH-P, which is one of the key reasons for the soaring stock price after its listing.

Before the exercise of the over-allotment option, XIZHI TECH-P issued a total of 13.7952 million H shares, accounting for 15% of the company's total share capital. Among them, 11.0362 million H shares from the international placement were subscribed by 20 cornerstone investors for about 8.9746 million shares, accounting for approximately 81.32% of the international placement and about 65.06% of the total issued shares, meaning that the actual tradable shares after listing were about 4.82 million shares. Based on a price of HKD 183.2, the actual tradable market value was only HKD 880 million.

With only about HKD 880 million of freely tradable shares, it provided a very thin base for speculative trading in the early stages of listing. After the stock price surged over 473%, it began a long downward path, as the valuation had become extremely inflated. At the highest price of HKD 1,050, XIZHI TECH-P's highest market value reached HKD 96.566 billion, while the company's revenue in 2025 was only RMB 106 million, corresponding to a PS valuation of as high as 818 times, which is quite exaggerated.

In comparison, the last round of financing for XIZHI TECH-P before its listing was the C4 round on April 24, 2025, with a post-investment valuation of only about RMB 7.8 billion. Just a year later, XIZHI TECH-P's market value soared to HKD 96.566 billion in the secondary market, an increase of over 11 times, which is clearly too crazy. Because of this, after reaching a historical high price of HKD 1,050, XIZHI TECH-P continued to decline by about 80%, approaching a "ankle cut." Thus, it can be seen that in the six months since XIZHI TECH-P's listing, a dramatic play of "thin plate speculation—valuation overdraft—value return" unfolded

## Fundamentals in Early Growth Stage: Coexistence of Accelerating Commercialization and High R&D Investment

As of the close on September 18, XIZHI TECH's stock price was HKD 323.2, which is an increase of over 76.42% from the issue price of HKD 183.2, indicating that cornerstone investors have already seen some floating profits. The key factor determining whether these cornerstone investors will sell after the lock-up period is not only the current level of floating profits but also whether the company's future growth expectations can bring more certain returns, which necessitates further exploration of XIZHI TECH's fundamentals.

According to the financial report for the first half of 2026, XIZHI TECH reported revenue of HKD 79.779 million during the reporting period, a year-on-year increase of 284%. Among them, the optical interconnect business achieved revenue of HKD 60.699 million, a year-on-year increase of 275%, accounting for 76%, while the optical computing business revenue was HKD 19.08 million, a year-on-year increase of 313%.

It is noteworthy that the growth in revenue from the optical interconnect business was primarily driven by Scale-up products, benefiting from the launch of the "LightSphere X" supernode solution. After more than a year of collaboration and optimization with several leading partners, the "LightSphere X" supernode solution has successfully achieved commercial deployment, establishing the first domestically developed distributed optical interconnect and optical switching GPU supernode solution. At the same time, the company received orders for OCS products from other clients, and the pricing of OCS products has increased, collectively driving the revenue growth of Scale-up products by 412% to HKD 55.907 million, making it the core engine of the company's revenue.

![xzkj1.png](https://imageproxy.pbkrs.com/https://img.zhitongcaijing.com/image/20260921/1789950542702051.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg)

The revenue of the optical computing business surged by 313% to HKD 19.08 million during the reporting period, mainly due to the PACE 2, which has achieved continuous sales under the single-card sales model since its launch in March 2025, after more than a year of commercialization efforts, including the PACE series and Gazelle.

While overall revenue saw significant growth, thanks to the scaling up of products, XIZHI TECH achieved a gross margin increase of 25.8 percentage points to 65.8%, leading to a year-on-year increase in gross profit of 532% to HKD 52.523 million.

It is important to note that XIZHI TECH has continuously increased its R&D investment during the reporting period, with R&D expenses rising by 126% year-on-year to HKD 360 million. Despite R&D spending being nearly HKD 200 million higher, the adjusted net loss for the reporting period was HKD 147 million, only a 12.21% increase from the loss of HKD 131 million in the same period of 2025. Clearly, XIZHI TECH is still in the early growth stage of "accelerating commercialization + high R&D investment."

## Optimistic Expectations Fully "Loaded," Future Development Tolerance Low

Based on the current fundamentals and looking to the future, XIZHI TECH has the conditions for accelerated development, but a more reasonable expectation is "optical interconnect first to scale up, optical computing to realize later," rather than both lines growing linearly at the same time Currently, the bottleneck of AI clusters is shifting from simply stacking GPUs to addressing bandwidth, power consumption, and latency within supernodes. The demand for Scale-up optical interconnects, NPO, CPO, and silicon photonic PICs is in an upward phase.

The significant growth in revenue from optical interconnect and optical computing products in the first half of 2026 for XIZHI TECH indicates that the pricing and gross margins of the company's products are supported as they transition from prototypes to deployment. The LightSphere X has already achieved the deployment of thousands of GPU clusters, and OCS silicon photonic PICs are in synchronized mass production, meaning that the previously most uncertain "commercialization of optical interconnect" has begun to establish a delivery foundation.

On this foundation, as long as supernode customers expand from demonstrations to multi-cluster procurement, revenue elasticity will be significantly greater than the total of 106 million yuan for the entire year of 2025, because optical interconnect orders are typically based on node scale, the number of optical switching modules, and subsequent expansion repurchases, resulting in a naturally higher revenue volume per customer compared to early-stage research sales.

However, one of the key variables for acceleration is whether the product roadmap can continue. The prospectus positions optical interconnect as the short-term commercialization focus, emphasizing Scale-up EPS, Scale-up OCS, and then extending to NPO and scale-out PICs. The mid-2026 report shows that the company's 3.2T NPO has passed testing in end-customer scenarios and completed wafer production, while the 6.4T NPO is being jointly developed with customers. CPO has demonstrated a 51.2T optoelectronic co-packaged prototype with Shengke Communication, and information from the Optical Expo indicates that its NPO has completed full-link verification, supporting 53/106GBaud and compatible with OIF 3.2T, OPEN NPO, and other forms.

This means that XIZHI TECH is not just selling "optical chip samples," but is also simultaneously locking in three routes: OCS for cabinet/supernode optical circuit switching, NPO for near-packaging upgrades that are easier to implement in the next 2-3 years, and CPO for long-term deep co-packaging with switching ASICs.

Currently, industry-side customer focus has shifted from simply interconnect speed to efficient multi-chip interconnect, reduced latency, and engineering validation. The number of Scale-up connections is significantly higher than traditional Scale-out, opening up market space for interconnect devices and solution providers. As an independent solution provider, XIZHI TECH has the opportunity to gain design integration in the ecosystem of domestic GPUs, switches, operators, and intelligent computing centers.

The optical computing product line is the second growth pole for XIZHI TECH's accelerated performance, but it is unrealistic to treat it as a short-term profit engine. Although the optical computing product line in the first half of 2026 saw a year-on-year revenue increase of 313% to 19.08 million yuan after entering scenarios such as EDA, quantification, banking, and edge intelligent computing with PACE 2 "Tianshu," and currently both PIC and EIC of PACE 3 are in wafer production, with a target of a 256×256 matrix and native introduction of oNET; WAIC metrics indicate it is aimed at low-latency large model inference, supporting a maximum of 256×768 matrices.

However, the ecological shortcomings of XIZHI TECH's optical computing are also quite evident: compilers, operator libraries, GPU task scheduling, and customer model adaptation all require time. The prospectus also assesses that the coexistence of large-scale optical computing with electrical computing may take longer. Therefore, if acceleration occurs in the future, optical computing is more likely to contribute revenue first through inference acceleration cards, intelligent computing integrated machines, and penetration into research and vertical industries. Only when PACE 3 engineering prototypes and customer PoCs convert into repurchases will a steeper revenue curve appear Therefore, it is unrealistic for XIZHI TECH's optical computing products to accelerate their explosion in the short term.

Based on the above judgment of XIZHI TECH's fundamentals, its benchmark scenario for accelerated development in the next 2-3 years is that LightSphere/OCS expands from 3 clusters to multiple operators and intelligent computing centers in domestic thousand-kilocalorie and several thousand-kilocalorie super nodes, with NPO achieving small batch to scale delivery for customers in 2026-2027, CPO maintaining engineering validation, and PACE 3 having engineering prototypes in 2027, with optical computing moving from edge and inference small scenarios to volume.

If all these milestones are realized, XIZHI TECH's revenue growth may increase from the 100 million level in 2025 to several hundred million or even higher levels, but it is still far from the valuation story of "optical computing fully replacing electrical computing." Moreover, if there are any delays in the delivery of super nodes, self-research by major clients, yield issues, or delays in the PACE ecosystem, XIZHI TECH's development will fall into the quagmire of "high R&D, low conversion."

Overall, XIZHI TECH, which is in a scarce track, has a high certainty for accelerated future development. Guohai Securities expects the company's revenues for 2026-2028 to be 240 million, 653 million, and 1.804 billion yuan, respectively. However, the market has given a sufficiently high valuation premium to this certainty in the short term, with the current market value corresponding to PS valuations of 108.2 times, 39.8 times, and 14.4 times for 2026 to 2028.

This set of numbers indicates that the market has fully priced in the optimistic expectations for XIZHI TECH's future. The current valuation is a typical "strong logic, high premium," with a very low tolerance for fundamental errors. To maintain the current market value, the company must deliver continuously high explosive performance; conversely, if there is any delay in performance release, the high valuation bubble will face the risk of being "burst," and a new round of "valuation killing" may be difficult to avoid

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---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**