Chinese Companies to Raise Up to $452.3M Through Share Placement, IPOs

By Megan Cheah

Three Chinese companies are set to raise up to US$452.3 million via share sales in Hong Kong, as more corporates head to the city to raise funds.

Shenzhen-based Ubtech Robotics aims to raise nearly 3.12 billion Hong Kong dollars, equivalent to US$400.9 million, in gross proceeds via a private placement, the company said Tuesday.

The robot manufacturer intends to place around 31.5 million new shares at HK$98.80 each, representing an 11% discount to the stock's closing price on Monday.

The company, which is backed by Chinese tech company Tencent Holdings, said most of the proceeds would be used for mergers and acquisitions, although Ubtech hasn't identified any acquisition targets. It also aims to use the funds for its business operations and development, as well as to repay loans.

Ubtech's Hong Kong shares rose as much as 2.95% after the announcement. The stock has more than doubled year to date, according to LSEG data.

Lemo Services, which offers massage services through mechanical massage equipment in China, plans to raise up to HK$222.2 million through an initial public offering of 5.55 million shares.

The shares will be priced within a range of HK$27.00 to HK$40.00, the company said Tuesday. The final offer price is slated to be announced Dec. 2, with shares expected to start trading Dec. 3.

The company intends to use the net proceeds from the IPO for purposes including expanding its points of service in China, which are generally located in high-traffic locations such as commercial complexes and cinemas.

Anhui Jinyan Kaolin New Materials is seeking to raise HK$177.4 million through an IPO. It plans to offer 24.3 million shares at HK$7.30 each. The company has secured four cornerstone investors, which plan to subscribe to shares valued at HK$76.2 million, it said Tuesday.

Anhui Jinyan Kaolin processes, produces and sells coal-series kaolin, a clay that is created during coal mining. It plans to use proceeds from the IPO for deep-processing of certain materials and to repay loans, among other purposes. Shares are likely to start trading next week.

Hong Kong has been one of the most active markets for listings this year. Funds raised through IPOs in the first 10 months of 2025 totaled HK$216.0 billion, a sharp increase from the HK$70.0 billion raised in the same period a year earlier, according to data from the city's stock exchange.

Write to Megan Cheah at megan.cheah@wsj.com

(END) Dow Jones Newswires

November 24, 2025 23:36 ET (04:36 GMT)