Spin-off plan sends Haidilao lower

Staff reporter

Shares of mainland hotpot restaurant chain Haidilao International (6862) fell after it announced it would spin off its overseas unit for trading on December 30, as the initial public offering market was mixed.

China's largest hotpot restaurant chain proposed to list its overseas unit Super Hi by way of introduction in Hong Kong. Eligible shareholders will receive one Super Hi share for every 10 shares they hold in Haidilao.

Haidilao declined by 1.42 percent yesterday to close at HK$20.8.

Meanwhile, mainland's biopharmaceutical company 3D Medicines (1244), which focuses on developing immuno-oncology drugs, jumped 25.9 percent or HK$6.47 and closed at HK$31.45 on its debut.

However, another new stock, aluminum alloy steam turbine manufacturer Buyang International (2457), slumped 40 percent or HK$0.2 and closed at HK$0.3.

China's snack maker Weilong Delicious (9985), slipped by 5.11 percent to HK$10.02 on its debut.

Ernst and Young said the global fundraising amount in IPOs this year slumped by 61 percent to US$179.5 billion (HK$1.4 trillion) from a year ago. The amount raised from IPOs in the city tumbled 68 percent to HK$107.6 billion from a year earlier.

In other news, China's Star CM has started book-building aiming to raise up to HK$355 million while medical imaging solutions provider Guanze Medical Information Industry also opened its retail books with an aim to raise up to HK$121.5 million.