Zhongji Innolight, a Chinese supplier of communications modules for data centres, has filed documents for a share placement on the Hong Kong Stock Exchange, which could be one of the largest in recent years.
According to the company’s documents, it plans to offer 54.5 million shares in Hong Kong at a price of up to 1,010 Hong Kong dollars per share. If the option for an additional share placement is fully exercised, the listing will be worth 63.3 billion Hong Kong dollars ($8.1 billion).
This offering could be the largest in Hong Kong since 2019, when Alibaba Group listed its shares on the stock exchange, according to Reuters. The listing is also expected to be the second-largest in Asia this year, surpassed only by the $8.6 billion IPO of chipmaker CXMT Corp. in Shanghai.
The documents state that a total of 33 major investors have already agreed to purchase Zhongji Innolight shares worth $3.45 billion. These investors include Alibaba, Tencent, Singapore’s sovereign wealth fund Temasek, JPMorgan Asset Management and BlackRock.
Innolight’s shares are already traded in Shenzhen and fell by 6.7 per cent on Wednesday. Over the past 12 months, the company’s market capitalisation has increased almost sixfold.