Chengdu Xinjin Electronics, an excellent analog and mixed-signal chip design company, completes over RMB 100 million in Series A financing

In June 2022, Chengdu Xinjin Electronics Co., Ltd. (Xinjin Electronics), an excellent analog and mixed-signal chip design company, announced the completion of a round A financing of over 100 million yuan.

It is reported that this round of financing was led by CRRC Capital, followed by Huichuan Technology, Shangqi Capital, Juntong Capital, Cornerstone Capital, Poly Capital, and Debi Investment. The funds from this round of financing will be mainly used to invest in new product research and development and production capacity reserves, as well as to expand the R&D team, sales team, and replenish working capital, which will accelerate the company's development and help Xinjin Electronics enter the fast lane of development in the magnetic sensor industry. At the same time, it will expand its isolation, interface, op amp and other product lines in the fields of automobiles, photovoltaics, lithium batteries, industrial control, etc., and become a design company that provides a complete set of analog and mixed signal chip solutions for the industry.

The lead investor CRRC Capital has a high degree of recognition for the company and believes that with the support of industrial capital, Xinjin Electronics will be more closely tied to the industry, safeguarding the company's rapid development.

Wang Jinyuan, executive director of CRRC Capital, said: "Magnetic sensors are widely used in the fields of automobiles, industrial control, robots, photovoltaics, energy storage, etc. With the strengthening of electrification and automation trends in various industries, the market demand for magnetic sensors will explode. As a leading domestic current sensor company, CRRC has always maintained close cooperation with Xinjin Electronics to jointly develop and mass-produce a number of sensor products, promoting the process of domestic substitution of magnetic sensors in this field. The Huayu Guochuang Fund initiated by CRRC highly recognizes the deep accumulation of the Xinjin team in the field of analog chips and is very optimistic about the broad prospects for the development of the company. CRRC Capital will fully assist Xinjin Electronics in becoming a leading company in the magnetic sensor chip industry in terms of industry and capital!"

This round of investment institutions also have high hopes for the development of Xinjin Electronics.

Liu Cheng, general manager of the Industrial Investment Department of Inovance Technology, said: "Chengdu Xinjin has been deeply engaged in magnetic sensing for many years, focusing on core current sensing devices in the industrial and automotive fields. Multiple categories of products have been widely used downstream. With the growth of downstream demand, the solidification of its industry position, the enrichment of product categories and years of understanding of technology and industry, Xinjin has great potential for explosive growth in performance. As a leading company in industrial automation and new energy vehicle electric drive systems, Xinjin's multiple categories of products can meet Inovance's needs. This industrial investment will further deepen the cooperation between the two parties in products and technologies. In the future, Inovance will continue to help Xinjin grow in industry and capital."

Zhang Jujin, Vice President of Investment at Shangqi Capital, said: "The core team of Xinjin has worked closely together from classmates at Chengdu University of Electronic Science and Technology to business partners, and has created the most comprehensive magnetic sensing product matrix in China. At the same time, they have accumulated rich experience in analog chip development. Shangqi Capital is very optimistic that the company will continue to create more value and achievements in high-growth fields such as industry, renewable energy, and new energy vehicles."

Li Lei, partner of Juntong Capital, said: "As a sub-segment of domestic substitution rigid demand, industrial-grade and automotive-grade magnetic sensors have broad market application prospects in the next few years. Juntong values ​​the efforts of the Xinjin team to continuously consolidate technical reserves since its establishment. In terms of corporate strategic selection and effective implementation, the company has demonstrated its growth potential and development path from steady progress to rapid breakthroughs. Juntong has joined hands with Xinjin, from capital cooperation to resource empowerment, and expects the Xinjin team to uphold the corporate vision, achieve milestones one by one, and develop into an influential leader in the field of domestic chips."

得彼投资基金经理沈翊杰表示：“作为芯进电子较早期的投资机构，得彼目睹了公司一步一个脚印的健步发展。从消费级霍尔国产替代供应商，成长为国内工业级、车规级磁传感器新星，公司创始团队战略清晰，眼界开阔、精研技术，深耕市场，成效卓著，相信未来定能成为国内领先的芯片级传感器企业。得彼做为具备产业基因的投资机构，将长期与芯进电子携手同行，从产业、资本、管理等各个层面为企业提供专业服务，对接要素资源。芯进，机遇当前，未来可期！”

Expert in Chip Innovation——Leading Enterprise

Founded in 2013, as an analog and mixed signal chip design company, the company has currently mass-produced various types of Hall effect and magnetoresistive effect magnetic sensor chips, current sensor chips, motor drive chips, power management chips, etc. Xinjin Electronics is determined to break the foreign monopoly and achieve import substitution. Its vision is to grow into an excellent analog and mixed signal chip design company. Company philosophy: Excellence in chip creation, endless progress, based in China, serving the world.

The company has become a leading customer supplier in the field of Hall sensors, which are used in photovoltaic inverters and automotive fields, with shipments exceeding 1 million units per month. Its products have entered customers such as Huawei, CRRC, BYD, and SAIC and their supply chains, and shipments are expected to grow 2-3 times in 2022. In the field of current sensors, the company has fully entered the fields of industrial control, photovoltaics, energy storage, etc., and its customers include Sungrow Power Supply, INVT, Xinwanda, Anker, etc.

The company has the most complete high-performance current sensors in China, covering the range of 5-1200A; automotive-grade programmable high-sensitivity linear Hall ICs; the best-performing single-phase BLDC driver ICs in China (with integrated Hall); a full range of switch-type magnetic sensors; and high-voltage digital isolator chips. In the next 1-2 years, the company plans to form a full range of product lines including current sensors, magnetic sensors, motor drivers, isolation chips, and camera drivers, covering dozens of industries.

The team has a senior magnetic sensor R&D technical background, strong R&D capabilities, rich experience in analog and mixed-signal chip design, has established a corresponding R&D system, and has good project management capabilities; the team has mature design and mass production experience in high-voltage and high-precision BiCMOS and advanced BCD processes, automotive-grade and industrial-grade advanced packaging and testing experience, and a complete domestic wafer and packaging and testing supply chain.

Huge market - promising future

The national carbon neutrality goal has made the new energy industry flourish. The release of the "New Energy Vehicle Industry Development Plan (2021-2035)" has greatly promoted the development of new energy vehicles, and the number of magnetic sensors used in automobiles has also seen explosive growth. The consumer electronics, industrial control, photovoltaic and other industries are booming, further expanding the magnetic sensor industry market.

Most of the core market for magnetic sensors is still in the hands of foreign companies, and the domestic market has great potential for substitution. Chengdu Xinjin Electronics Co., Ltd., which has achieved 100% growth in performance for several consecutive years, is undoubtedly the rising star of the industry!

It is predicted that in the next few years, the annual growth rate of the magnetic sensor market will reach 8.3%, reaching nearly US$3 billion in 2022 and US$7.8 billion in 2028, with the domestic market accounting for about 40%. At present, the domestic market share of domestic magnetic sensor companies is less than 10%, and there is huge room for replacing imported products.

Looking back at history and looking forward to the future

Looking back at the early days of Xinjin Electronics, the founding shareholders, Chen Zhongzhi, Peng Zhuo, and Zhao Xiang, were classmates of the University of Electronic Science and Technology of China in 2000. After graduating from the University of Electronic Science and Technology of China, they worked in well-known domestic semiconductor companies for nearly 10 years, and were familiar with semiconductor production, research and development, and testing processes. When they founded Xinjin Electronics, they were already senior integrated circuit design engineers. They are all technical experts in the relevant technical fields and have a strong technical background. Xinjin Electronics has continuously obtained a number of patents in the process of development, and has also won the honors of Xinjin people on the road of growth: becoming a national high-tech enterprise, a governing unit of the Chengdu Integrated Circuit Industry Association, and an industrial cooperation and collaborative education unit of the University of Electronic Science and Technology of China. Since 2019, it has won the title of Chengdu Hi-tech Zone Gazelle Enterprise for three consecutive years, and has won the Sichuan Provincial Science and Technology Progress Award, the Deloitte-Chengdu Hi-tech Zone Innovation and Entrepreneurship Tomorrow Star Award, and the Chengdu Integrated Circuit Industry Association 2020 Best New Enterprise Award.

"Currently, there are not many companies in China that have the ability to produce magnetic sensor ICs. With domestic substitution, the domestic market is very huge. If you choose the right industry and have strong technology, Chinese companies will have unlimited possibilities under the trend," said Li Bin (pseudonym), an expert in the magnetic sensor industry chain: Whoever can quickly master the technology and have the ability to mass produce will be able to occupy the domestic market first. This is a blue ocean market, and excellent companies like Xinjin Electronics will be the representatives of China's advanced companies!