China chipmaker Hua Hong posts modest gains in Shanghai debut

SHANGHAI: Hua Hong Semiconductor, China’s second-largest chip foundry, posted modest gains in its Shanghai debut on Monday, reflecting a weak market sentiment and investor caution amid mounting Sino-U.S. chip rivalry.

Hua Hong shares opened 13% higher on Shanghai’s tech-focused STAR Market, but quickly faltered.

As of 0225 GMT, the stock was changing hands at 54.6 yuan ($7.60), just 5% higher than its offer price of 52 yuan. The Shanghai Composite Index was down 0.6%, while Hua Hong’s Hong Kong-listed shares declined more than 7%.