Shanghai-based Xinyi Information Technology, which develops IoT chips, has secured 300 million yuan ($43.5 million) in a Series C round, according to an announcement on Friday.
The round was led by the China Internet Investment Fund (CIIF), a 100-billion-yuan ($15.8 billion) fund set up by China’s Ministry of Finance and the Cyberspace Administration of China.
The round, joined by Shanghai Pudong Smart Manufacturing Industry Fund, Peakvest, Haitong Innovation Securities, and Hanqian Investment, will help the firm in R&D, production operation, as well as expanding its sales channel, per the announcement.
Founded in 2017, Shanghai-based XINYI focuses on the R&D and commercialisation of narrowband IoT (NB-IoT) chips based on low power wide area (LPWA) technology that can enable a wide range of cellular devices, system capacity, and spectrum efficiency, especially in deep coverage. Its products are used in areas including telecom, sensor operation, power management, and beyond.
Previously, it raised almost 500 million yuan ($77.5 million) in a Series B round in September 2021, jointly led by CMB International, a financial institution affiliated with China Merchants Bank, and Chinese investment bank CICC’s direct investment platform CICC Alpha.
Some of the firm’s early backers include early investors China’s Orient Jiafu Asset Management, and Septwolves Venture Capital, a VC unit of Chinese menswear brand Septwolves.
Chipmakers have continued to ride on the funding tailwind, as the country strives for self-reliance in chipmaking amid intensifying crackdown from the US.
Startups in the industry sealed 27 deals to remain the most favoured sector in February, according to Dealstreetasia’s proprietary data. Tian Yu Semiconductor Energy, which manufactures silicon carbide epitaxial wafers, for example, has bagged $176.7 million in a funding round to expand its production capacity and to prepare for its initial public offering.
