Logistics start-up GoGoX set to launch US$150m IPO

GoGoX, the Hong Kong-based logistics startup, is reportedly seeking listing approval this week, aiming to raise up to US$150 million (HK$1.17 billion), 70 percent less than expected.

Formerly known as GoGoVan, the company expected to open its retail books on June 13, and debut on June 23, according to International Financing Review under Reuters.

GoGoX, which merged with Chinese peer 58 Express in 2017, filed its first application for a listing in Hong Kong last year and was planning to raise up to US$500 million, according to earlier media reports.

This came as CR Capital Management is weighing a bid to take New Zealand-listed Comvita private and intends to list the honey maker again in another location including Hong Kong, according to people familiar with the matter.

The investment arm of China Resources Holdings has held initial talks with banks for financing its potential offer, said the people.

Shares of Comvita jumped as much as 7.2 percent in their biggest intraday gain since August on the news, giving it a market value of around US$150 million. CR Capital has about 6.6 percent shares in the Te Puke-based company, according to data compiled by Bloomberg.

Comvita, founded in 1974, develops and sells products made of Manuka honey, propolis and olive leaf extract, its website shows. The company reported NZ$9.5 million (HK$48.47 million) in net profit after tax for the financial year ended June 2021, compared to a net loss of NZ$9.7 million a year ago.

Meanwhile, FWD, the Asian insurer backed by billionaire Richard Li, has decided to postpone its Hong Kong initial public offering due to market volatility. The company could resume its listing plans when market conditions become favorable again, said the people.

FWD this month won approval for its Hong Kong IPO but hadn't decided when to launch the share sale.

The insurer was seeking to raise about US$1 billion, people familiar with the matter have said.

This came as Huadian Power International (1071) proposed to spin off its infrastructure unit to list in the form of Real Estate Investment Trust in Shanghai.

Separately, The accounting firm Grant Thornton Hong Kong said there is a 9 percent drop in corporate transactions in the first quarter in Hong Kong but expects a rebound in the number of deals in the second half of the year on the back of anticipated post-pandemic recovery of market activities in China