Semiconductor Manufacturing International Corp, the biggest contract chip maker in the Chinese mainland, saw its shares surge nearly 202 percent on its first day of trading in Shanghai on Thursday.

The company's shares opened at 95 yuan ($13.57) when they started trading on the technology-focused STAR Market, up 245 percent from its initial public offering price of 27.46 yuan. SMIC shares closed the day at 82.92 yuan.

The chip maker had earlier raised 46.28 billion yuan by issuing 1.68 billion shares in the Chinese mainland's biggest IPO in a decade since Agricultural Bank of China's 68.5 billion yuan public issue in 2010.

Zhou Zixue, chairman of SMIC, said the listing reflects the STAR Market's support for core technological innovations and the real economy.

SMIC will further leverage the strength of the domestic capital market to accelerate innovation, provide more quality products and services to customers at home and abroad, promote the company's continuous growth, and contribute to the development of the integrated circuit industry contribution, Zhou said.

The company said in its listing prospectus that it would use the IPO proceeds to develop cutting-edge chip manufacturing process, supplement working capital and bankroll the research and development of advanced technologies.

The Shanghai-based company is also listed in Hong Kong where its shares fell by about 25 percent on Thursday.

Founded in 2000, SMIC is the biggest contract chip maker in the Chinese mainland. SMIC has successfully mass-produced a smartphone processor for Huawei Technologies Co with 14-nanometer manufacturing process, marking a breakthrough in the mainland's push to boost its chip making industry.

The move came after SMIC announced in May that it had received an investment of $1.5 billion from China's National Integrated Circuit Fund II and a $750 million commitment from the Shanghai Integrated Circuit Fund II, which will be used to drive its research and development, as well as production capabilities.

As of Thursday, nearly 26,000 new semiconductor-related companies have been registered in the Chinese mainland during the first six months of this year, according to data collected by business information provider Tianyancha.