Chinese autonomous driving firm Horizon Robotics has priced its shares at HK$3.99 each, the top of its range, to raise $696 million in an initial public offering in Hong Kong, according to two sources with direct knowledge of the matter.
The sources could not be named discussing confidential information.
Horizon Robotics declined to comment on its IPO pricing.
The company sold 1.355 billion shares in a price range of HK$3.73 to HK$3.99 ($0.48 to $0.51) each, according to the company’s filings.
The retail portion of the deal was covered 34 times, according to one of the sources, indicating renewed enthusiasm from retail investors for Hong Kong IPOs.
The top 10 largest orders among institutional investors to buy stock were would be allocated about 75% of that tranche of the deal, the source added.
At the set price, the IPO is the largest in Hong Kong in 2024, eclipsing China Resources Beverage which on Friday finalised its $650 million new share sale. It is also the largest tech sector IPO in Hong Kong since SenseTime Group raised $740 million in late 2021.
The two deals have given dealmakers renewed hope Hong Kong’s IPO market could be showing signs of activity after a near two-year slump.
Before Horizon Robotics and China Resources Beverage, IPO volumes had hit a two decade low, according to Dealogic data. The two IPOs beginning book building last week meant Hong Kong recorded its busiest week for IPO activity in two years.
Reuters
