Nexchip Semiconductor (China) (HKG:2249) launched its Hong Kong initial public offering on Tuesday, seeking to raise up to HK$6.98 billion.

The Chinese semiconductor company is offering 216.2 million H-shares at an indicative price range of HK$30 to HK$32.30 per share, according to a Hong Kong bourse filing.

The offering comprises 21.6 million shares for Hong Kong investors and 194.6 million shares for international investors, subject to reallocation and the overallotment option.

The offer price is expected to be determined by July 8, with allocation results due by July 9, ahead of the company's planned trading debut on July 10.

Net proceeds will be used to enhance the company's research and development capabilities.

The company secured 20 cornerstone investors who committed to purchasing up to $446.20 million worth of IPO shares.

China International Capital Corp., CLSA, Huatai Financial, BOCI Asia, ICBC International Securities, CMB International Capital, and Futu Securities International are serving as the underwriters for the offering.