BRIEF: Shanghai FourSemi shares double in Hong Kong debut
Shares of power amplifier audio chip designer Shanghai FourSemi Semiconductor Co. Ltd. (3625.HK) doubled in their Hong Kong trading debut on Tuesday, as the company raised HK$423 million ($54 million) by selling 12 million shares for HK$40 each.
The shares opened at HK$85.05, more than double their IPO price, and then edged down slightly to trade HK$79.90 midway through the afternoon session, valuing the company at about HK$8.86 billion. The Hong Kong portion of the listing for local investors was more than 3,000 times oversubscribed, while the international placement was nearly two times oversubscribed.
The company’s revenue fell 2.8% to 218 million yuan ($31.5 million) in the first 10 months of last year from 289 million yuan in the same period a year earlier. About 30% of its revenue in the latest period came from chips used in audio speakers, while a fifth came from chips used in mobile phones, and another fifth came from tablet PCs. Its loss in the first 10 months of last year widened to 51.8 million yuan from 46.9 million yuan a year earlier.
The strong performance for FourSemi’s stock contrasted sharply with Hangzhou Tongshifu Cultural and Creative (Group) Co. Ltd. (0664.HK), a maker of copper-based cultural and creative products, which also debuted on Tuesday. Tongshifu’s shares opened at HK$35.42, down 41% from their IPO price of HK$60, and were trading at HK$32.50 in the afternoon.
By Doug Young
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