GoGoX (2246), the company that was until recently GoGoVan, opened its retail book yesterday with the aim of raising up to HK$671 million.
But that target is 80 percent less than its reported target when it sought to float in February, a month before the markets started to plunge.
The Hong Kong-based logistics startup is offering 31.2 million shares at HK$21.5 apiece. The international tranche was fully subscribed by yesterday.
It attracted nearly HK$20 million via margin financing yesterday, data from local brokers showed, with a minimum investment of HK$4,343 per board lot of 200 shares.
Its trading debut is on June 24.
Founded in Hong Kong in 2013 and merged with 58 Express in 2017, the company operates two brands. GoGoX is the standard bearer in Hong and most of Asia while it is Kuaigou Dache in the mainland. It plans to use the funds raised from the offering to enlarge its user base and strengthen its brand awareness, develop new services and products and pursue investments or acquisitions in overseas markets.
GoGoX hopes to use some of the funds in working with partners in Southeast Asia, said cofounder Steven Lam Hoi-yuen.
The company opened a joint venture with a logistics company in Vietnam at the end of last year, and Lam said Vietnam will be one of the key business development areas.
UBS, China International Capital Corp, Bocom International and ABC International Holdings are joint sponsors for the offering.
Steven Lam is the cofounder of the logistics start-up. SING TAO
