Overview

• On May 26, 2025, Sugon and Hygon filed a merger plan under which Hygon will absorb Sugon shares and issue new mainland China–listed stock to Sugon’s shareholders
• Trading in both companies’ Shanghai-listed shares will be suspended for up to ten trading days to limit volatility during the transaction
• The merger combines Sugon’s supercomputing infrastructure with Hygon’s x86 CPU and AI accelerator expertise, originally developed under an AMD Zen architecture license
• Both firms have been added to the U.S. Bureau of Industry and Security’s Entity List as Washington tightens export restrictions on advanced computing technologies
• Chinese media reports suggest Hygon’s upcoming C86-5G processor could feature up to 128 cores and 512 threads, positioning the combined group as a potential homegrown alternative to Nvidia’s AI chips