Gu Ming concludes retail tranche 26 times oversubscribed, eyes $1.58 billion IPO

The retail tranche of Chinese bubble tea chain Gu Ming's initial public offering, the prospective third tea beverage stock in Hong Kong, was oversubscribed 26.4 times.

The company, which will close book building today, received orders from retail investors worth at least HK$4.17 billion in margin loans.

Gu Ming expects to make a market debut this coming Wednesday.

It plans to raise up to HK$1.58 billion in the IPO, offering shares at a price range of HK$8.68 to HK$9.94, with a minimum investment of HK$4,016.10 per lot for 400 shares.

The company will then become the third tea drink stock to be listed in Hong Kong, following Nayuki Holdings (2150) and Sichuan Baicha Baidao Industrial (2555).

STAFF REPORTER