Seres Group’s shares fell on their debut in Hong Kong on Wednesday, as the electric-vehicle maker joined a dozen other mainland Chinese carmakers including BYD, Nio and Xpeng to raise funds in the city amid a sizzling initial public offering (IPO) market.
Trading under the stock code 9927, shares of Chongqing-based Seres slid 3.7 per cent to HK$126.60 as of 10am local time, after slumping as much as 10.3 per cent earlier. It first changed hands at HK$128.90, compared with the IPO price of HK$131.50 – which was set at the top of the marketed range. The price represented a 22 per cent discount to its Shanghai-listed shares. The company raised HK$14.3 billion (US$1.8 billion) from the IPO.
Seres’ offer was oversubscribed 132 times, with 10.86 million shares allocated to retail investors, representing about 10 per cent of the total offering. The tranche attracted about 202,300 valid applications, of which 57,928 were accepted.
The international placement was 8.61 times oversubscribed, with 97.76 million shares allocated to institutional investors – accounting for the remaining 90 per cent of the IPO.
The company’s cornerstone investors include Schroders, Mirae Asset Securities, Huatai Capital Investment and Sanhua Intelligent Controls.
