JD Health raised 3.5 billion U.S. dollars through IPOs in the Hong Kong stock market. The company is a subsidiary of JD.com, a Chinese e-commerce company, that works in the healthcare field.
The Wall Street Journal (WSJ) reported on the 2nd that JD Health’s stock will begin trading on the Hong Kong stock market on the 8th.
JD Health’s IPO is the largest among the IPOs in the Hong Kong Stock Exchange this year.
However, including the second listing of JD.com with 3.9 billion dollars in June, it will be the second.
Individual investors showed high interest, especially Black Rock, the world’s largest asset manager, as a major investor. Because of this, JD Health’s offering price was set at 70.58 US dollar per share, the upper limit of the desired price.
JD Health IPO debut, the biggest IPO this year
JD Health is the largest online healthcare platform and online pharmaceutical distributor in terms of sales in China.
In the first half of this year, sales reached 8.8 billion yuan. Up 5 billion yuan from the same period last year.
The WSJ said more than 120 companies raised 44.6 billion US dollar through the Hong Kong Stock Exchange this year. Also the largest amount in about a decade since 2010 with 68 billion US dollar.
The WSJ assessed that Hong Kong’s position as a capital procurement hub is being strengthened thanks to Chinese companies’ continuous push for corporate disclosure in the Hong Kong stock market amid the escalating U.S.-China conflict.
The Donald Trump administration withdrew its special status on Hong Kong in June, citing China’s Hong Kong security law.
The U.S. House of Representatives unanimously passed the “The Holding Foreign Companies Accountable Act,” a bill that allows Chinese conglomerates listed on the U.S. stock market, following the Senate’s May vote.