Nine firms build retail books for Hong Kong IPOs

Nine companies are currently building retail books for their Hong Kong initial public offerings, as the city’s stock exchange accelerates the vetting process ahead of year-end.

Xizang Zhihui Mining and autonomous driving firm CiDi are set to close their retail books on Tuesday and are expected to debut on December 19. Xizang Zhihui Mining has attracted about HK$72.5 billion in margin financing, making its retail tranche around 1,317 times oversubscribed. The miner plans to offer 120 million shares at HK$4.10 to HK$4.51 each, aiming to raise up to HK$550 million.

CiDi has received about HK$776 million in margin orders, or roughly 11 times its retail allocation. The company is offering shares at HK$263 apiece to raise HK$1.42 billion.

Three more firms opened their retail books on Monday and are expected to list on December 23.

QingSong Health has drawn about HK$294 million in margin financing, around 5 times oversubscribed, while artificial intelligence firm Nuobikan Artificial Intelligence Technology (Chengdu) has attracted about HK$136 million, or 3.38 times.

Biotechnology company Hanx Biopharmaceuticals (Wuhan) has recorded about HK$854 million in margin loans, translating into roughly 14.6 times oversubscription of its retail tranche.

Another four companies are expected to begin trading on December 22.

Nanhua Futures has attracted about HK$290 million in margin financing, equivalent to 1.68 times retail demand. BenQ BM Holding Cayman, which operates private hospitals in Chinese mainland, has drawn around HK$241 million, or 3 times oversubscription.

State-owned cultural tourism operator Impression Dahongpao has seen strong retail interest, with margin financing of about HK$3.6 billion, or roughly 243 times oversubscribed.

Biopharmaceutical firm B&K Corporation has also attracted heavy demand, with margin loans of about HK$139 billion, representing about 154 times oversubscription.