Sunday, June 16, 2019
 
Columnist
Martin Hennecke

Tai Hing in 'gray' slide
 
13/06/2019
 
<p>Tai Hing (6811) traded 6 percent lower than its initial public offering price at HK$2.82 in the Bright Smart gray market last night.</p><p>The local casual restaurant chain has received HK$694.7 million after pricing its flotation at HK$3, the lower end of its indicative price range of HK$2.8 to HK$3.8. Its retail tranche has been 14.51 times oversubscribed.</p><p>Tai Hing plans to use 44 percent of net proceeds for the opening of new restaurants, and 11 percent for the renovation of existing restaurants in Hong Kong and mainland China.</p><p>About 35 percent of net proceeds will be spent on enhancement and expansion of food factories in Hong Kong and mainland China, and the remainder will be for general working capital.</p><p>Meanwhile, Kato (Hong Kong) (2189), the local operator of residential care homes for the elderly, saw its share price decline 15 percent to HK$0.51 in the gray market before its main board debut. Kato raised HK$118.4 million after pricing its deal at HK$0.60, the bottom of the targeted price range. The float was 79.37 times oversubscribed.</p><p>Two mainland companies listed on the main board yesterday, with China Tobacco International (HK) (6055), the international unit of China National Tobacco Corporation, outperforming the market and rising 9.6 percent to HK$5.35. The market turnover was about HK$1.08 billion.</p><p>Shares of China East Education (0667), the largest vocational training education provider in mainland China, dropped 11.8 percent to HK$9.92 yesterday.</p>
Previous news : Buyers paying the price of property gloom
Next news : Trump claims to be holding up trade deal
 

 

 
Login
Password
Register  Forget Password
Advanced Search
© 2019 The Standard, The Standard Newspapers Publishing Ltd.
Home | Business | Metro | Focus | Opinion | Markets | World | Sports | Entertainment | Monday Money | Property | Macau | Weekend