Ant Group’s dual listing in Hong Kong and Shanghai, shunning New York, is the world’s largest and has seen overwhelming response
October 28, 2020 | Genivi Factao- Ant Group’s IPO, world’s biggest, receives strong institutional support
- Dual listing in Hong Kong and Shanghai amid mounting China-US tension
- Becoming a global payment and financial services giant
Ant Group, the financial technology arm of Chinese e-commerce giant Alibaba is set to raise just under $34.5 billion in a dual listing in Hong Kong and Shanghai, making it the largest initial public offering (IPO) in history amid the pandemic.
Ant Group’s IPO is bigger than Saudi Aramco's $29.4 billion debut listing on the Saudi Tadawul, then the world’s largest, concluded in January 2020. The Saudi Arabian national oil company was valued at $1.7 trillion.
Ant Group’s IPO, world’s biggest, receives strong institutional support
Priced at HKD 80.00 per H share, or $10.30, investors showed strong interest and it was oversubscribed according to traders.
Ant’s order books on the Hong Kong offering to institutional investors was oversubscribed hours after the launch on Tuesday and was closed a day earlier than planned.
“Priced at $10.30, the interest is there. There’s demand according to our counterpart in Hong Kong. Everyone is excited. The Ant Group story is spectacular,” said Astro del Castillo, managing director at First Grade Finance, an investment company in the Philippines.
Dual listing in Hong Kong and Shanghai amid mounting China-US tension
The company has chosen to list in Hong Kong and Shanghai over New York, which it is known to initially favour, due to the ongoing friction between China and the US. The Trump Administration’s increasingly adversarial stance towards Chinese companies on so-called national security grounds has caused other mainland firms to turn to Hong Kong.
“It’s the first time that pricing of such a big listing - the largest in history has been determined outside New York C...
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Keywords:Ipo, Fintech, E-commerce, Mobile Payments