# Zhonghong

Startup profile on Capital Atlas: https://capitalatlas.ai/startups/zhonghong

- Industry: Semiconductors
- Headquarters: Shanghai, China
- Website: www.zh-et.cn/
- Total disclosed funding: $9.6M
- Latest round: Series A (Sep 28, 2023)
- Investors on record: 1

## About

Zhonghong is a Shanghai-based company that manufactures semiconductor chip production equipment, focusing on critical processes essential for semiconductor fabrication and addressing the industry's growing demands.Zhonghong, established in 2011 in Shanghai, China, specializes in semiconductor manufacturing equipment. The company has raised CNY 70 million in its Series A funding round on September 28, 2023, with Addor Capital as a new investor. Zhonghong has completed one deal to date, contributing to its expansion in the semiconductor supply chain.Zhong Hong specializes in the manufacturing of semiconductor chip production equipment, focusing on critical processes such as photoresist coating and development. Their core offerings include state-of-the-art remanufacturing equipment, which is essential for various steps in semiconductor manufacturing, particularly in the photolithography process. These products are designed to enhance efficiency and precision in semiconductor fabrication, addressing the increasing demand for high-quality chips in various industries. Zhong Hong serves a diverse client base that includes semiconductor manufacturers and technology firms, primarily targeting markets in East Asia, North America, and Europe. The company’s commitment to innovation is evident in its ongoing research and development efforts, which have led to the establishment of a comprehensive manufacturing center in Shanghai, further solidifying its position in the semiconductor supply chain.Zhong Hong generates revenue primarily through direct sales of its semiconductor manufacturing equipment to business clients, including semiconductor producers and technology companies. The transaction structure is predominantly B2B, with agreements often structured around bulk orders and long-term contracts for ongoing support and maintenance services. Customers typically engage in negotiations to define terms that include delivery timelines and service agreements, ensuring a streamlined purchasing process. Pricing plans for their flagship products, including their proprietary remanufacturing equipment, are established based on the complexity and specifications required by clients. This transactional model facilitates repeat business and fosters partnerships within the semiconductor industry, enhancing Zhong Hong's revenue stability and growth prospects.In September 2023, Zhong Hong raised CNY 70 million in Series A funding to support its future growth strategies. The company plans to utilize this funding to enhance product development and expand its business operations and marketing activities. Zhong Hong is targeting new geographic markets for expansion, particularly in regions within East Asia and Europe, aiming to launch new products designed for improved semiconductor manufacturing processes by the end of 2024.

## Funding rounds

- Series A, Sep 28, 2023, $9.6M — Addor Capital

## Investors

- Addor Capital (https://capitalatlas.ai/funds/addor-capital) — Series A