Shares of distributed energy storage solutions provider Sigenergy Technology Co. Ltd. (6656.HK) soared in their Hong Kong trading debut on Thursday, climbing throughout the day to close at HK$659.50, more than double their HK$324.20 IPO price.
The company said it sold 13.57 million H-shares in the listing, raising net proceeds of HK$4.19 billion ($537 million). The Hong Kong public offering for local investors was oversubscribed by more than 1,100 times, while the international offering was 30.2 times subscribed. Cornerstone investors purchased 6.76 million shares, accounting for 4.84% of the company’s total H-share capital after the offering.
Sigenergy’s revenue surged more than sixfold year-on-year last year to 9 billion yuan, while its profit rose 35-fold to 2.92 billion yuan.
The company plans to spend 38% of funds from the listing to expand its R&D team and enhance its technological capabilities. Another 32% will be used to strengthen marketing and after-sales services; 12% will go for capacity expansion; and 9% will be used to diversify its product portfolio and expand its industrial and commercial solar-storage-charging integrated solutions.
By Lau Chi Hang
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