More Chinese firms debut on US stock market
A total of 12 Chinese tech firms have already gone public in the United States this year, the highest numbers of Chinese IPOs (initial public offerings) in that market since 2014.
The latest example was Shanghai-based online lending platform PPDai, which debuted on the New York stock market over the weekend, raising US$270 million with an IPO price of US$13.
“PPDai’s IPO represents global investors’ recognition of China’s booming Fin-Tech sector, an important part of the domestic economy besides the traditional finance system,” Zhang Jun, PPDai’s chief executive, said in a statement.
Last Thursday, search engine Sogou debuted at US$13 per share, giving the company a market value of US$5.4 billion.
Including PPDai and Sogou, a total of 12 Chinese companies have gone public in the US this year, the highest number since 2014 when 16 IPOs, including Alibaba's US IPO, went on the market.
Another Chinese firm is expected to issue IPOs in the US market this year. Jianpu Technology Inc, a subsidiary of China’s online finance platform Rong360, applied recently in the hope of raising US$272 million.
Companies in China that want to issue IPOs have to run the gauntlet of tighter scrutiny nowadays, with a stricter and more complicated IPO review process, Shanghai Daily reported recently.
Besides the United States, Chinese tech firms also issued IPOs in Hong Kong, including online insurance firm ZhongAn, online reading service provider China Literature, and game device and eSports vendor Razer.
Razer, which debuted on the Hong Kong stock market today, rose more than 21 percent to 4.7 Hong Kong dollars (72 US cents) by 3:00pm today.