Mao Geping sizzles in gray trade

June Chen and Reuters

Mao Geping sizzled in gray trading yesterday ahead of its listing today in Hong Kong.

The Chinese cosmetics giant's shares once traded 56 percent higher than their initial public offering price of HK$29.80, before closing 54.4 percent up on Phillip Securities' platform, generating a paper gain of HK$1,620 for a board lot of 100 shares.

Data from brokers indicate that the IPO drew the highest amount of margin loans this year, at HK$156 billion, surpassing China Resources Beverage's (2460) figure of HK$132.4 billion.

The HK$210 million IPO was more than 742 times oversubscribed, the fourth highest among Hong Kong IPOs this year.

Meanwhile, Chinese autonomous-driving technology firm Minieye passed its listing hearing in the city recently, becoming one of the country's five self-driving services unicorns starting or planning to sell shares in capital markets in the past five months, following Black Sesame International (2533), Horizon Robotics (9660), WeRide and Pony AI.

The Shenzhen based company offers autonomous driving services to at least 35 automotive original equipment manufacturers.

Alibaba (9988) chief executive officer Eddie Wu Yongming holds a 2.5 percent stake in Minieye.

Besides, China International Capital Corporation (3908), which also has a 5.5 percent stake in the firm, and Citic Securities (6030) are sponsors of the IPO.

In other IPO news, Shanghai-listed Jiangsu Hengrui Pharmaceuticals plans to apply for a dual listing in Hong Kong. It may list within 18 months and raise up to US$2 billion (HK$15.6 billion).

Also, Hong Kong hotpot chain The Great Restaurant Development has filed for a US IPO aiming to raise up to US$12 million with an indicative price range from US$4 to US$6 per share. The company, which was valued at between US$82.4 million and US$124 million, plans to issue 2 million shares.

Meanwhile, regulators in the mainland and Hong Kong have told some of the world's biggest investment banks to help speed up Chinese companies' listings in the city, said sources, in a bid to boost fundraising overseas and revitalize the world's second biggest economy.

The China Securities Regulatory Commission in October told two meetings, attended by more than 10 banks and law firms, that it was working towards speeding up some approvals for offshore listings.

Bankers from JP Morgan, Morgan Stanley, Goldman Sachs, UBS and Chinese firms CICC and Huatai Securities (6886), among others, attended the meetings, according to the sources.