BRIEF: Haixi Pharma delays IPO trading debut

Fujian Haixi Pharmaceuticals Co. Ltd. (2637.HK) said on Thursday night that the trading debut for its Hong Kong IPO, originally scheduled for Friday, will be postponed. It blamed the delay on failure to finalize terms, including the final offering price, subscription levels for the international placement, and the Hong Kong public share allotment methodology, and to obtain regulatory approval by the 8 a.m. Friday deadline.

Some brokers began notifying clients of their share allotments as early as Wednesday afternoon, indicating the price had been set at HK$86.40. Trading commenced on the gray market on Thursday over broker platforms. Positions at Futu Securities surged sharply early on, briefly commanding a premium of 131% at HK$200 versus the set price. However, the gains later fell sharply to just over 20%.

Haixi Pharmaceuticals had aimed to raise HK$990 million ($127 million) by selling 11.5 million shares. Its prospectus quoted a price range of HK$69.88 to HK$86.40 per share.

By Lau Chi Hang

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