Former School Teacher And Sister Become Billionaires After Tape Maker’s Stock Surges 787% In IPO

0:00Mai Michael: Today on Forbes, former elementary school teacher and sister become billionaires after Tapemaker's stock surges 787 % in IPO. China's enthusiasm for new stocks has helped to mint two billionaires on paper this week. The shares of Tapemaker Crown New Materials technology surged during its trading debut on Tuesday. That has made its chairman and CEO and former elementary school teacher, Mai Michael, and his sister immensely rich. Crown New Materials Technology supplies adhesive materials such as tapes to companies including BYD, Apple, and Tesla. Its shares rallied as much as 787 % during the firm's first trading day in Shenzhen, as local investors chased new listings.

0:57Mai Michael: The 62-year-old Mai has Australian citizenship and is a permanent resident of Hong Kong. According to Forbes estimates, he has a net worth of$2.5 billion based on his stake. His sister, Mai Weixia, is 64 years old, a Chinese citizen and the company's vice chairman. She has amassed a$2 billion fortune from her stake, according to Forbes. The company didn't respond to a request for comment on their net worth. Based in the city of Junsheng, a manufacturing hub in the coastal Guangdong province, Crown New Materials raised 956 million yuan, or the equivalent of US$144 million, in late October by selling 56.3 million shares at 1698 yuan apiece in Shenzhen, according to a stock exchange filing.

1:53Mai Michael: The company plans to use the proceeds to expand production and build a research center in China. Shen Meng, managing director of Beijing-based boutique investment bank Chanson & Co., says Chinese investors' known fondness for newly listed shares is driving the rally, which led the Shenzhen Stock Exchange to actually halt trading of the company's shares twice during the morning session, as they kept surging. To ensure good market performance, initial public offerings in mainland China are almost always priced conservatively, allowing shares to surge afterward. This, according to Shen. In a separate filing on Tuesday, Crown New Materials advised investors to be cautious and rational.

2:43Mai Michael: Founded in 2000, the company makes adhesive materials and protective films that are widely used in sectors ranging from autos and electronics to semiconductors. Its tapes, for example, are used to hold various components together. In semiconductor manufacturing, protective films are needed to shield wafers from dust and damage. Crown New Materials says in the prospectus that it competes with American multinational 3M and Japan's Nito Danko, globally. Domestically, its peers include fellow Shenzhen-listed Jiangsu Sidika New Material Science and Technology, as well as Shanghai-listed Smith Adhesive New Material.

3:28Mai Michael: In the stock exchange filing, the company estimated that its revenues grew 12 % year-on-year to 2.8 billion yuan during the first nine months of 2026. Net profit fell 7.9 % to 225 million yuan. In its prospectus, the company attributed its shrinking net income to higher material costs and global trade tensions. As for its CEO, Mai, he went into the materials business in 1985 after quitting a teaching job in an elementary school in Zhongshan the previous year. For most of the following two decades, he worked for various local factories in Zhongshan, including overseeing an adhesive tape maker. Mai and his sister established Crown New Materials in 2000.

4:18Mai Michael: Today, the business remains firmly in the hands of the family, with one of Mai Michael's daughters, Mai Kristal, also an Australian citizen and a permanent resident of Hong Kong, sitting on its board. Mai Michael's spouse, his other daughters, as well as sister Mai Weishia's daughter, are indirect shareholders, according to the company's prospectus. For full coverage, check out Yue Wang's piece on Forbes.com. This is Kieran Meadows from Forbes. Thanks for tuning in.