China grid-equipment maker Sieyuan eyes Hong Kong listing after 665% surge
Sieyuan plans to issue new H shares equal to up to 15 per cent of its outstanding stock, as the company fast tracks global expansion
Shenzhen-listed Sieyuan Electric, a grid-equipment maker whose shares have surged about 665 per cent over the past five years, is planning a secondary listing in Hong Kong.
The move would give Sieyuan, already a favourite among overseas investors, more direct access to international capital as it pushes into global markets amid rising demand for grid upgrades driven by data centres and artificial intelligence.
The company said on Monday night it plans to issue new H shares equal to no more than 15 per cent of its total 778 million outstanding shares. It did not disclose a timetable or fundraising target in the exchange filing.
Citibank estimated the listing could take place in the second half of next year, raising as much as 20 billion yuan (US$2.84 billion), based on assumptions including a 5 per cent discount to Sieyuan’s A shares and an offer price of about 147 yuan a share, according to a note by Pierre Lau Hin-tat, the bank’s China equity strategist.
If realised, the deal would rank as Hong Kong’s third-largest initial public offering over the past 12 months, behind Contemporary Amperex Technology and Zijin Gold International based on deal size.
Sieyuan did not immediately respond to the Post’s request for comment.