China's Former Teacher Joins Billionaire Club After Adhesive Tape Firm's Blockbuster IPO
Summarized by AI; it may make mistakes. Check important info
Summarized by AI; it may make mistakes. Check important info
A former elementary-school teacher in China has become a billionaire after the adhesive materials company he co-founded with his sister saw its shares surge 787% on its stock market debut in Shenzhen.
Mai Michael and his sister, Mai Huixia, founded Crown New Materials Technology in 2000. The company's spectacular listing on the Shenzhen Stock Exchange on November 3 turned both siblings into billionaires on paper, according to estimates by Forbes.
Michael's estimated net worth stands at around $2.5 billion, while his sister's fortune is estimated at approximately $2 billion. Their wealth is largely linked to their shareholdings in the company and reflects the rise in its market value rather than money realised through share sales.
787% Stock Surge Turns Founders Into Billionaires
Crown New Materials raised 956 million yuan, approximately $144 million, through its initial public offering (IPO), selling 56.3 million shares at 16.98 yuan apiece.
When trading began on November 3, investor demand sent the company's shares soaring as much as 787% during the session.
The sharp rally triggered two trading halts during the morning session, according to reports cited by Forbes.
The stock market debut significantly increased the estimated value of the siblings' stakes, taking Michael's wealth to around $2.5 billion and Huixia's to approximately $2 billion.
The company plans to use the IPO proceeds to expand its production capacity and establish a research centre in China.
From Classroom To Factory Floor
Before entering the manufacturing business, Michael worked as an elementary-school teacher in Zhongshan, a manufacturing hub in China's Guangdong province.
He left his teaching job in 1984 and entered the materials business a year later. Over the following years, he worked with several local factories and gained experience in adhesive tape manufacturing.
His exposure to factory operations and industrial materials eventually laid the foundation for his entrepreneurial venture.
Rather than immediately setting up his own business, Michael spent years understanding the industry before joining hands with his sister to establish Crown New Materials Technology in 2000.
Adhesive Materials Used By Apple, Tesla And BYD
Crown New Materials specialises in adhesive materials and protective films used across industries such as consumer electronics, automobiles and semiconductors.
While these products are rarely visible to consumers, they play an important role in manufacturing. Adhesive materials help hold components together, while protective films shield sensitive surfaces from dust, damage and contamination.
According to company disclosures cited by Forbes, its customers include major global companies such as Apple, Tesla and BYD.
The Chinese manufacturer competes with established industry players, including US-based 3M and Japan's Nitto Denko.
