BRIEF: Shougang LanzaTech launches $88 million Hong Kong IPO
Ethanol supplier Beijing Shougang LanzaTech Technology Co. Ltd. (2553.HK) launched its Hong Kong IPO on Tuesday, aiming to sell nearly 40 million shares for HK$17.10 each to raise HK$684 million ($88 million). The subscription period will close on May 29, with the stock slated to debut on June 3.
The company’s revenue has been falling steadily over the past three years, dropping from 593 million yuan ($87 million) in 2023 to 522 million yuan last year. It has also posted growing losses, with its net loss rising from 110 million yuan to 325 million yuan over the three-year period. The total losses over those three years is roughly equal to the amount it is now seeking to raise in the IPO.
The company explained that the losses were primarily driven by rising cost of sales and administrative and other expenses, compounded by the drop in revenue during the period.
Looking ahead, Shougang LanzaTech said it expects that as global economies roll out decarbonization policies to reduce greenhouse gas emissions and slow climate change, China’s growing demand for fuel ethanol will unlock significant opportunities for the company.
By Lau Chi Hang
To subscribe to Bamboo Works weekly free newsletter, click here
Related Articles
RELATED ARTICLES
-
Move over, Hong Kong. Young Beijing Exchange becomes China’s new IPO hub
-
BRIEF: Wuxi Lead Intelligent launches $534 million Hong Kong IPO
0470.HK300450.SHE
-
BRIEF: Creality launches $177 million Hong Kong IPO
3388.HK
-
BRIEF: 51World launches $94 million Hong Kong IPO
6651.HK
-
BRIEF: Star Sports Medicine launches $97 million Hong Kong IPO
1609.HK
-
BRIEF: Shenzhen Woer launches $350 million Hong Kong IPO
9981.HK002130.SHE
-
BRIEF: Forest Cabin launches $130 million Hong Kong IPO
2657.HK
