Hair transplant firm joins IPO flurry in HK

Hair transplant specialist Yonghe Medical launches its initial public offering in Hong Kong today to raise HK$1.49 billion, after as many as six firms opened their retail books yesterday.

The Beijing-based firm plans to issue 94.42 million shares at HK$15.8 apiece, with a minimum investment of HK$7979.6 per board lot.

Morgan Stanley and China International Capital Corporation are the joint sponsors of the deal.

It is expected to be listed on the main board on December 13.

The net proceeds from the offering will be used for the expansion and upgrade of its operations, product innovation, R&D, and building brand awareness, it said.

The firm also introduced 10 cornerstone investors to back up US$97 million (HK$757 million), representing 50.64 percent of the total offering.

Among the six firms that kicked off their book building yesterday, mainland pharmaceutical company Asymchem Laboratories (Tianjin) required a minimum investment of HK$41,413.2 per board lot, breaking the record for the minimum investment among local new listings.

In other news, Hong Kong Exchanges and Clearing's (0388) new platform for initial public offering, Fast Interface for New Issuance, is expected to be launched in the fourth quarter of 2022.

The introduction of FINI will shorten the time gap between the pricing of an initial public offering and its market debut to two days based on a "T+2" timetable.

Hong Kong currently has a "T+5" settlement cycle, meaning there is a five-trading-day time gap between IPO pricing and listing.