Former Plastics Salesman Becomes Billionaire As Chip-Cooling Materials Maker’s Shares Soar 719% On Debut

After graduating from high school, Sun Aixiang spent nearly two decades selling plastics and adhesive products such as glue and tape. A shrewd decision to establish a materials company with his brother-in-law Zhao Jianping in 2003 has now made both men billionaires on paper, following Shenzhen HFC’s blockbuster listing and a first-day share price surge of as much as 719%.

Sun, the company’s 58-year-old chairman, has amassed an estimated fortune of $1.7 billion from his stake in the company, following its listing on the Shenzhen Stock Exchange, according to Forbes estimates. Zhao, a 63-year-old company director, is worth an estimated $1.3 billion based on his stake.

Shenzhen HFC raised 1.4 billion yuan ($214.4 million) in its initial public offering by selling 18.7 million shares at 76.9 yuan apiece. The company, which is backed by investors including Huawei’s venture capital arm, Hubble Investment, plans to use most of the proceeds to build research centers in China. Strategic investors in the IPO included optical transceiver maker Eoptolink and Alibaba’s cloud computing arm, according to a stock exchange filing. Shenzhen HFC didn’t respond to a request for comment.

The stock’s rally follows a familiar pattern in China. Investors have been eager to buy shares in newly listed companies considered important to China’s drive for technological self-reliance, in anticipation of first-day price surges.

Sun’s company specializes in heat management materials such as thermal pads and thermally conductive gels. These materials are widely used with AI chips and in optical modules and data center equipment to transfer and dissipate heat. Shenzhen HFC also makes electromagnetic-interference shielding and wave-absorbing materials that protect electronic equipment from disruptive electromagnetic interference.