Haier's insurance unit targets $360m IPO

Melody Chen

Zhongmiao, an insurance agency under China's home appliance giant Haier, kicked off retail book building yesterday with a minimum investment of HK$5,151 per lot, aiming to raise up to HK$360 million.

Zhongmiao plans to issue 35.3 million H-shares, with 10 percent allocated to Hong Kong, at prices ranging from HK$7 to HK$10.20 apiece.

The offering started yesterday and ends on August 1, and the firm plans to make its Hong Kong debut on August 6 under the stock code 1471.

The company said that more than half of the funds raised will be used for the development of its insurance agency business within three years of listing.

Approximately 26.2 percent will be used for enhancing its IT service offerings and research and development capabilities over the next five years. CITIC Securities and Ping An of China Securities (Hong Kong) are the joint sponsors.

Established in 2017 in Shandong, the insurance agency provides property, life and health, accident and automobile insurance products.

It reported revenue of 170 million yuan (HK$182.94 million) last year, a 17.3 percent increase year on year, while net profit was 40.37 million yuan, up 6.9 percent.

Meanwhile, autonomous driving startup WeRide has filed for a listing with the US Securities and Exchange Commission.

The offering will be led by Morgan Stanley, JPMorgan Chase and China International Capital Corp (3908) and the stock will be listed in the form of American depositary shares under the ticker symbol "WRD."

WeRide plans to raise between US$200 million (HK$1.56 billion) to US$300 million, according to the latest reports. If confirmed, this amount would be less than the approximately US$440 million raised by electric vehicle brand Zeekr in its New York Stock Exchange listing this year.

The Apollo Go competitor reportedly raised US$500 million this year, making it the largest US listing by a Chinese company since Didi Global.