Key Takeaways
China-based electronics manufacturer Huaqin Technology priced its Hong Kong initial public offering at HK$77.70 per share, raising HK$4.55 billion ($581 million) in the process.
The offer price was set at the top end of the company's indicative range, a bullish signal that follows several other strong debuts in the city. The joint sponsors for the deal were CICC and BofAS.
Huaqin is offering 5.9 million Hong Kong shares and 52.7 million international shares. The company said it will use the proceeds to fund product-centric research and development and to expand its manufacturing network.
The listing comes as Hong Kong's IPO market shows renewed signs of life, particularly for technology-related firms. Last week, shares of Victory Giant Technology, a Chinese supplier of circuit boards to Nvidia, surged as much as 60 percent in their debut after raising $2.57 billion in the city’s largest offering in seven months. Other tech firms like Montage Technology and MiniMax Group have also seen strong investor demand for their recent Hong Kong listings.
The pricing gives Huaqin Technology a significant valuation ahead of its trading debut on April 23, which will serve as a key test of investor appetite for large technology listings in the current market. Investors will be watching for the announcement of interest levels in the international offering and application levels for the Hong Kong public offering.
This article is for informational purposes only and does not constitute investment advice.
