Chinese tech companies, from Apple suppliers, to OpenAI competitors, raise $27.34 billion in Hong Kong
Chinese tech firms, from chipmakers to AI startups, are flocking to Hong Kong’s booming capital market. They have raised a total of HK$214.39billion ($27.34billion) in this?year for expansions in AI, semiconductors, and advanced manufacturing.
Some of the largest companies in the city have listed or sold shares recently:
CATL, the world's biggest electric vehicle battery manufacturer, launched a share sale of approximately HK$39.2 Billion ($5.00 Billion) in April. This was less than a month after its blockbuster IPO?Hong Kong.
CATL, whose clients include Tesla, BMW and Volkswagen, as well as Nio and Xiaomi, has priced 62.4 millions new H shares each at HK$628.20.
Chaozhou Three-Circle
The electronic ceramic'materials' maker priced its share offering at the upper end of their marketed range in order to raise approximately HK$7.16billion.
Dajin Heavy Industry The wind power equipment manufacturer set its Hong Kong IPO offer price at HK$66.40 per share in June. It aimed to raise HK$5.77billion.
Dajin, a Shenzhen listed company, said that it would use 55% to improve deep-sea power services and the remaining 20% to build an assembly and operation facility in Europe.
GigaDevice Semiconductor GigaDevice Semiconductor raised HK$4,68 billion through a Hong Kong IPO in January. The company plans to use these proceeds for strategic and industry investments, as well as research and development, as well as potential acquisitions.
The shares of the company soared by almost 40% on their Hong Kong debut, January 13th.
Huaqin In April, the smart device maker raised HK$4.6 Billion in a Hong Kong stock offering.
The company designs and manufactures electronic devices for major technology brands including smartphones, laptops and servers. They also design and manufacture wearables and smart home devices.
The shares of the company rose 17% on their Hong Kong debut.
Lingyi iTech Apple's supplier priced its Hong Kong IPO to raise around HK$8.3billion, hoping to use some of the proceeds for expanding AI capabilities.
The company was founded in 2006 by Zeng Fangqin. It supplies parts for laptop computers, smartphones and tablets. Huawei Technologies is one of its clients.
MiniMax Group MiniMax Group announced that it would be raising HK$16.04billion in new capital through a share issue and a bond issuance to fund the growth of its AI business.
The company plans to raise HK$9.54billion by issuing?35,6 million new Class A Shares and the remainder via zero-coupon bond due in 2027. In January, the company had raised HK$4.82billion in its Hong Kong IPO.
MiniMax was founded by Yan Junjie in 2022, a former executive of SenseTime. It develops multimodal AI model that can produce text, audio, video, and music.
Momenta Global Momenta Global, a robotaxi company backed by Mercedes-Benz, raised HK$5.89billion in a Hong Kong IPO. However the shares opened flat due to caution surrounding AI and other tech stock.
Cao Xudong, a former Microsoft researcher, founded Momenta in 2016, which offers assisted-driving systems to automakers including Toyota Motor, BYD and BYD.
Montage Technology Montage Technology's prospectus revealed that it raised HK$7.04billion in a February share sale to fund research, acquisitions, strategic investments, and working capital.
Investors attracted by the semiconductor designer included JPMorgan Asset Management (JPM), UBS Asset Management (UBS) and Yunfeng Capital.
Montage was founded in 2004 and designs integrated circuits to help speed up data movement in data centers and servers.
Nexchip Semiconductor This chipmaker, which is a part-state owned company, priced its offering at the high end of their marketed range. They are aiming to raise HK$6,98 billion.
The company will spend over HK$3.5 billion from its proceeds on R&D, and another HK$1.5billion on AI-powered systems that integrate the research, development and manufacturing processes.
OmniVision Integrated Circuits OmniVision Integrated Circuits, which listed in Hong Kong in early January, raised HK$4.80 Billion and intends to spend about 70% of its proceeds on research and development.
In its Hong Kong listing prospectus it cites Frost & Sullivan, a research and consulting firm, as stating that the firm was the third largest digital image sensor supplier globally with?a 13,7% market share based upon revenue from digital imaging products in 2024.
Shanghai Biren Technology AI Chip?startup Shanghai Biren Technology has raised HK$5,58 billion through its Hong Kong listing. The majority of the proceeds will be used for research, development and commercialisation.
Biren was founded in 2019. Its co-founders are Jiao Guifang and Zhang Wen. Jiao previously worked for Huawei and Qualcomm.
Shanghai Iluvatar CoreX Semiconductor The Shanghai-headquartered ?firm launched a Hong Kong share sale aimed at raising around HK$7.07 billion.
Iluvatar CoreX, a GPU designer, offered 14.9 million H shares for HK$476 each. This represents a?15% reduction on the last closing price of the stock.
The proceeds of the sale will be used for research and development, product improvement, technology upgrades and other purposes.
A term sheet, seen by?a reporter, revealed that Knowledge Atlas Technology JSC (also known as Zhipu AI Zhipu) had launched a HK$31.41 Billion share sale in Hong Kong.
Investors see the firm as a rising competitor to U.S. companies such as OpenAI. This is due to strong demand for large-scale language models.
Zhongji Innolight Chinese optic parts maker Zhongji Innolight aims at raising up to HK$55.05billion ($7.02billion) through a Hong Kong IPO, which would be Asia's 2nd largest share sale of the year. According to LSEG, the listing would be Hong Kong's largest share sale in almost seven years. It follows Alibaba Group's $12.9 Billion listing in 2019.
(source: Reuters)
