FAST NEWS: Rimag Group rises in Hong Kong trading debut
The Latest: Jiangxi Rimag Group Co. Ltd. (2522.HK), which provides medical imaging services, opened at HK$15 in their Friday trading debut, 0.1% higher than their IPO price of HK$14.98, giving the company a market capitalization of about HK$3 billion ($385 million).
Looking Up: The local portion of the offering was subscribed by 17,855 investors and was oversubscribed by about 336.3 times.
Take Note: Despite a favorable response to subscription, the stock was priced at only HK$14.98, close to the lower end of its HK$14.60 to HK$16.80 IPO price range.
Digging Deeper: Rimag Group operates its own medical imaging centers or helps partners run their centers. Since its launch in 2014, the company has built 97 imaging centers in 17 provinces, autonomous regions and municipalities in China, establishing a presence in major cities as well as 59 regions at county level. The company first submitted an unsuccessful listing application to the Hong Kong Stock Exchange in May last year, filed again in November and passed the listing hearing in May this year.
Market Reaction: Rimag’s stock continued to rise after the open and was up 2.9% at HK$15.42 by the midday trading break on Friday.
Translation by A. Au
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