CFMEE, a Hefei-based integrated circuits company recognized as a potential unicorn in 2020, gets listed on the Shanghai Stock Exchange on April 1. [Photo/WeChat account: hefeigaoxinfabu]

The number of potential unicorns in China had reached 425 by the end of 2020, including nine based in Hefei, making the city rank 10th among Chinese cities, a report stated on June 29.

Most of the city's potential unicorns, including Origin Quantum, Leinao, and Mzi, are based in Hefei National High-tech Industry Development zone. They are from high-tech industries like integrated circuits, quantum technology, and artificial intelligence.

According to the report released by Greatwall Strategy Consultants, a "potential unicorn" refers to a registered company in China set up within the past five years that has a valuation reaching $100 million or a company set up in the past five to nine years that is worth over $500 million. Such a company has great potential to become a unicorn, which is a startup valued at $1 billion or more.