China has created a third state investment fund for the development of the semiconductor industry with a registered capital of 344 billion yuan ($47.5 billion), according to a registration in the state company registry, Reuters reports.

Shares of Chinese chipmakers rose, with the CES CN Semiconductor Index rising more than 3% to post the largest one-day gain.

The third phase of the China Integrated Circuit Industry Investment Fund was officially registered on May 24 with the Beijing Municipal Market Regulatory Administration, according to the National Enterprise Credit Information Disclosure System, which is a state credit information agency.

The third phase will be the largest of the three funds established by the China Integrated Circuit Industry Investment Fund, known as the “Big Fund.” One of the main areas that this phase will focus on is chip manufacturing equipment.

China’s Ministry of Finance is the largest shareholder with a 17% stake and 60 billion yuan of capital. China Development Bank Capital is the second largest shareholder with a 10.5% stake.

Seventeen other organizations are listed as investors, including five major Chinese banks: Industrial and Commercial Bank of China, Construction Bank of China, Agricultural Bank of China, Bank of China, and Bank of Communications, each contributing about 6% of the total capital.

The first phase of the fund was established in 2014 with an authorized capital of 138.7 billion yuan, and the second phase was established in 2019 with an authorized capital of 204 billion yuan.

The large fund has provided financing to two of China’s largest chipmakers, Semiconductor Manufacturing International and Hua Hong Semiconductor, as well as flash memory manufacturer Yangtze Memory Technologies and a number of smaller companies and funds.