BRIEF: Hipine surges in Hong Kong trading debut
Shares of gold watch maker Shenzhen Hipine Precision Technology Co. Ltd. (2583.HK) roared out of the gate in their Hong Kong trading debut on Tuesday, opening up 184% and continuing to rise during the morning to close up 248% at HK$103.10 by the midday break.
The company sold10.6 million shares for HK$29.60 each, at the top of their range. The local portion was oversubscribed by more than 2,500 times, while the international portion was 2.9 times covered, raising total net proceeds of HK$268 million ($34 million).
The company primarily sells its own Hipine-brand gold watch cases and bezels, while also providing ODM and processing services for other domestic jewelry brands. Last year it reported revenue of 460 million yuan ($65 million), up 2.5% year-on-year, while its net profit fell 5.3% to 49.35 million yuan.
The company plans to use its IPO proceeds mainly to expand its production capacity, enhance and improve its sales network, build its brand, and establish an R&D center.
By Lee Shih Ta
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