China Vanke's (2202) property manager Onewo Space-tech Service has earned the green light for an initial public offering in Hong Kong.

Bloomberg earlier reported that the fundraising amount would be at least US$2 billion (HK$15.6 billion).

At US$2 billion, the Shenzhen-based firm would be among the biggest initial public offerings in Hong Kong this year under a sharp slowdown in listings.

Late last month, China Tourism Group Duty Free Corp (1880) saw its net proceeds from the city's so far largest share sale come in at HK$15.89 billion.

In addition to Onewo, The IPO of electric vehicle maker Zhejiang Leapmotor Technology and EV battery maker CALB, which has both reportedly looking to raise US$1.5 billion, are also waiting in the pipeline.

Hong Kong's IPO market slump has outpaced the drop in global first-time share sales. Year-to-date volume in the Asian financial hub is nearly 80 percent below the levels seen last year, according to data compiled by Bloomberg, as a result of China's economic slowdown and ongoing regulatory uncertainty.

Formerly known as Vanke Property Development, Onewo was established in 1990 and is now China's top real estate and facilities manager with flagship projects such as Phoenix TV's Beijing headquarters the Phoenix Center and Shenzhen Bao'an International Airport in its portfolio.

China Vanke, which is the mainland's second-largest developer, owns a 62.89 stake in Onewo and is also its largest customer, contributing 16.1 percent of the company's total revenue.

This came as YH Entertainment, the artist management company famous for representing Chinese celebrity Wang Yibo, has pulled its first-time share sale in Hong Kong as investor interest didn't meet its valuation expectations, a person with knowledge of the matter said.

The Alibaba (9988)-backed company was expected to price its IPO on Wednesday, which could raise up to HK$1.13 billion, but decided to suspend the process and wait for better market conditions, said the person.

Separately, Chinese smart pharmacy chain Dingdang Health Technology kicked off book building yesterday, aiming to raise up to HK$402 million.

The minimum investment is HK$6,060.47 per board lot of 500 shares.

In other news, Biocytogen Pharmaceuticals (2315) closed 3.1 percent higher on its trading debut yesterday after it raised about HK$470 million in the share sale.

China Vanke owns a 62 percent stake in the property manager. Reuters

Onewo gets green light for US$2b IPO