Gray market slip for buoyant GoGoX

GoGoX (2246), formerly known as GoGoVan, fell in the gray market ahead of its trading debut today after its retail tranche was three times oversubscribed.

The Hong Kong-based logistics unicorn slipped 0.9 percent on Futu Securities' platform yesterday while it closed 1.9 percent lower on Phillip Securities' platform, which suggested a paper loss of HK$80. The firm had received 6,788 applications from retail investors for 12.63 million shares.

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.

This comes as Chinese healthcare platform ClouDr plans to raise HK$579.5 million in its Hong Kong initial public offering by setting the offering price at HK$30.5.