BRIEF: Zhou Liu Fu launches $143 million Hong Kong IPO

Jeweler Zhou Liu Fu Jewellery Co. Ltd. (6168.HK) launched its Hong Kong IPO on Wednesday, aiming to raise about HK$1.12 billion ($143 million) by selling 46.8 million shares for HK$24 apiece. Share subscriptions will close on June 23, with trading set to commencing on June 26.

The jewelry retailer logged revenue of 5.72 billion yuan last year, up 11% year-on-year, while its profit climbed 7.1% to 710 million yuan. Zhou Liu Fu had 4,129 brick-and-mortar stores by the end of last year, including franchised and company-owned outlets.

The company will use half of the IPO proceeds for expansion and reinforcement of its sales network, 20% for brand enhancement, 20% to improve its product design capabilities and the remaining 10% for general working capital.

By Lau Chi Hang

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