SHANGHAI, 7 January 2026 — China’s leading AI server provider xFusion has taken a formal step toward a public listing by hiring Citic Securities Co. to guide its initial public offering (IPO) preparations, according to regulatory disclosures, marking a major milestone for one of the country’s fastest-growing artificial intelligence infrastructure businesses.
The Henan-based company, spun off from Huawei Technologies in 2021, is widely regarded as a leader in China’s AI server market, supplying data-centre compute systems and cloud infrastructure to customers in more than 100 markets. Its decision to engage an investment bank to undertake “IPO tutoring”, an early stage of regulatory and market preparation, formally kicks off a listing process expected to run into mid-2026.
AI Infrastructure At The Core Of China’s Tech Push
xFusion’s business has benefited from a surging demand for high-performance computing infrastructure tied to generative AI and data-intensive workloads, as China seeks to bolster its domestic capabilities amid ongoing U.S. export restrictions on advanced semiconductor technologies. Annual sales for the firm topped 40 billion yuan (about US$5.7 billion) in 2024, reflecting robust growth in AI server adoption.
The company’s shareholders include major Chinese telecom investors such as China Telecom Group Investment and China Mobile Capital Holding, giving xFusion both deep strategic backing and access to key domestic markets as well as global clients.
Recruiting Citic Securities to lead IPO preparations underscores the company’s ambition to transition from private growth into public capital markets. The IPO tutoring phase, slated to extend through January to May 2026, will help xFusion strengthen compliance frameworks, refine its business disclosures and align its operational standards with regulatory expectations ahead of a formal listing application.
Surge In AI Listings And Investor Appetite
xFusion’s move toward a public offering comes against the backdrop of heightened investor enthusiasm for China’s AI and semiconductor sectors. In the past quarter alone, a wave of domestic AI and chip companies such as MiniMax Group and Biren Technology have either listed or taken steps to enter public markets, with several seeing strong share price performance on debut. The CSI AI Index, a gauge of Chinese AI stocks, climbed more than 60% in 2025, reflecting heightened investor interest in the sector’s long-term growth story.
Analysts say successful IPOs by infrastructure-focused firms like xFusion could help deepen capital market support for China’s technology ecosystem, particularly in segments tied to AI hardware and compute capabilities, areas seen as critical to Beijing’s broader strategic push for tech self-sufficiency.
Investors and market watchers will be watching closely as xFusion progresses through its IPO preparation phase, with a formal filing expected once regulatory tutoring is complete. Should the company list by late 2026, it would join a growing cohort of Chinese AI tech names that are helping reshape the landscape for technology capital markets in Asia.
