3 mainland Chinese firms add to Hong Kong’s IPO boom with US$2 billion in fundraising
Muyuan Foods, Shenzhen Han’s and Distinct Healthcare started taking orders for their Hong Kong listings on Thursday
Hong Kong’s new share market continues to sizzle, with three companies seeking to raise a combined US$2 billion on Thursday, led by Chinese pig-breeding giant Muyuan Foods, which launched the city’s largest flotation of the year.
The world’s largest hog firm planned to raise HK$10.7 billion (US$1.4 billion) by selling about 274 million new shares at up to HK$39 each, according to its prospectus, hot on the heels of another billion-dollar deal from Chinese drinks giant Eastroc Beverage.
At the maximum price, Shenzhen-listed Muyuan would have a valuation of around US$38 billion, taking into account its onshore and offshore shares. Its shares rose 2.6 per cent to 46.33 yuan on Thursday.
Another Shenzhen-listed company, printed circuit board (PCB) equipment maker Shenzhen Han’s CNC Technology, aims to raise up to HK$4.83 billion from its Hong Kong listing. It was China’s largest specialised PCB equipment manufacturer by revenue in 2024, with a market share of 10 per cent.
Private healthcare services provider Distinct Healthcare Holdings also started taking orders to raise up to HK$316.4 million.
These firms join a wave of Chinese consumer, food and technology companies tapping Hong Kong’s stock market, with the city’s benchmark index hitting a four and a half year high as investors diversify away from US assets. Debutants have also impressed, with shares in Busy Ming Group, China’s largest snack and drinks retailer, jumping 69 per cent on Wednesday.