S.F. Holding Shares Rise in Hong Kong Trading Debut

Dow Jones11-27
 

By Jiahui Huang

 

Shares of Chinese express-delivery company S.F. Holding rose in their trading debut in Hong Kong after the financial hub's second-largest listing this year.

The Shenzhen-based company's shares rose 1.9% to 34.90 Hong Kong dollars, equivalent to around US$4.48, in trading early Wednesday. The listing price was HK$34.30.

S.F. Holding, which was already listed in Shenzhen, raised net proceeds equivalent to about HK$5.67 billion in the offering.

The listing is the second-largest in Hong Kong this year, behind Chinese appliance maker Midea's US$3.98 billion offering in September.

The offering comes as the market is largely in a wait-and-see mode after Donald Trump's election win this month fueled concerns over potential trade and geopolitical tensions.

The logistics company said it plans to use proceeds from the offering to enhance its domestic and international operations. S.F. Holding also plans to use part of the proceeds for research and development to upgrade its supply chain.

Cornerstone investors including China Pacific Insurance, Oaktree Capital Management and Morgan Stanley International took up $204.8 million of the offering.

Founded in 1993, S.F. Holding is the largest delivery company in Asia in terms of revenue in 2023, according to Frost & Sullivan. The company's revenue rose 9.4% to 206.9 billion yuan, equivalent to around $28.55 billion, for the first nine months of this year.

Goldman Sachs, Huatai Securities and JPMorgan were joint sponsors of the company's offering.

Shares of rival J&T Global Express, which was listed in Hong Kong last October, have slid 64% so far this year.

 

Write to Jiahui Huang at jiahui.huang@wsj.com

 

(END) Dow Jones Newswires

November 26, 2024 22:10 ET (03:10 GMT)

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