Ride-hailing app Caocao slumps 17pc in gray market debut

Two Chinese firms with initial public offerings set for this week showed mixed performance in local gray market on Tuesday, just a day ahead of their Hong Kong debuts.

Chinese ride-hailing platform Caocao once declined by as much as 17 percent from its offer price of HK$41.94 on the Bright Smart Securities' platform, giving a paper loss of HK$714 per board lot of 100 shares.

The Geely-backed platform dropped by 14.2 and 15.8 percent on Philip Securities' and Futu Securities' platforms, respectively.

Earlier, Caocao planned to offer around 44.18 million shares while aiming for HK$1.85 billion in fundraising.

Concurrently, home appliance maker XJ Electrics (Hubei) edged up by 1.8 percent from its offer price of HK$2.86 – the lower end of the price range – on Futu Securities' platform, giving a paper gain of HK$50 per board lot of 100 shares.

However, its shares lost 3.9 and 0.4 percent on Philip Securities' and Bright Smart Securities' platforms, respectively.

STAFF REPORTER