BRIEF: Red Bull challenger Eastroc falls flat after raising $1.3 billion in IPO
Shares of energy drink maker Eastroc Beverage (Group) Co. Ltd. (9980.HK; 605499.SH) opened flat at HK$248 on Tuesday in their Hong Kong trading debut, and traded in a narrow range before closing unchanged at the midday break
The company sold about 40.89 million shares, raising about HK$10 billion ($1.28 billion). Its public offering for local Hong Kong investors was oversubscribed by 56.5 times, while the international placement was oversubscribed by 14.6 times. Sixteen cornerstone investors bought shares, including Blackstone Fund, Taikang Life Insurance, UBS Asset Management and JPMorgan Asset Management.
The company was the second-largest functional beverage seller in China in 2024 with 23% of the market. Its revenue rose 34% year-over-year to 16.84 billion yuan in the first nine months of last year, while its profit climbed 39% to 3.76 billion yuan.
By Lau Chi Hang
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