China's Yixin Group rises 32 pct in Hong Kong debut (updated)

Yixin

16/11/2017 02:20

* Shares rise to as far as HK$10.18 vs IPO price of HK$7.70 
    * Yixin raised $867 million in an initial public offering 
    * Listing comes after strong debuts by China Literature, 
Razer 
 
 (Updates share price, adds company details) 
    By Julie  Zhu 
    HONG KONG, Nov 16 (Reuters) - Shares in Yixin Group Ltd 
 2858.HK , China's largest online car retailer, gained as much 
as 32 percent on their trading debut in Hong Kong on Thursday, 
benefiting from rising enthusiasm for technology stocks in the 
Asian financial hub. 
    Yixin's debut is the latest in a string of technology share 
offerings in Hong Kong, which have been generating strong retail 
investor demand. 
    Backed by internet giants Tencent Holdings  0700.HK  and 
JD.com  JD.O , Yixin raised HK$6.77 billion ($867 million) after 
pricing its initial public offering (IPO) at the top of the 
indicative range of HK$6.60-HK$7.70. 
    The shares opened at around HK$10 and extended gains to 
HK$10.18 in early trade, posting a 32 percent gain over the 
initial offering price of HK$7.70 and giving the firm a market 
value of HK$64.1 billion ($8.21 billion). 
    By 0205 GMT, the stock was trading at HK$8.70.    
    Spun off from New York-listed online automobile marketplace 
Bitauto Holdings  BITA.N  in 2014, Yixin has gradually grown 
into a large online firm for trading new and second-hand cars, 
as well as providing auto-related financing services.   
    It posted a loss of 6.11 billion yuan ($16.62 million) in 
the first half of 2017, compared to a loss of 647,000 yuan a 
year earlier. Its revenue more than tripled to 1.55 billion yuan 
over the same period. 
    Chinese internet giant Tencent owns 24.3 percent of Yixin, 
while JD Financial Investment, a unit of JD.com, controls 12.7 
percent and Chinese search engine Baidu  BIDU.O  holds 3.5 
percent of the company. 
    On Monday, shares in gaming firm Razer Inc  1337.HK , backed 
by Intel Corp  INTC.O  and Hong Kong billionaire Li Ka-shing, 
surged 18 percent in its Hong Kong stock market debut, after 
raising about $500 million in an IPO.  urn:newsml:reuters.com:*:nL3N1NJ18N 
    That came a week after China Literature Ltd  0772.HK , the 
e-book unit of Tencent, saw its shares surge more than 80 
percent in their debut, marking the biggest first-day gain for a 
large IPO globally this year.  urn:newsml:reuters.com:*:nL3N1NE1AM 
    ($1 = 7.8064 Hong Kong dollars) 
 
 (Reporting by Julie Zhu; additional reporting by Donny Kwok; 
Writing by Sumeet Chatterjee; Editing by Stephen Coates and 
Joseph Radford) 
 ((sumeet.chatterjee@thomsonreuters.com; +852-2847 2094; Reuters 
Messaging: sumeet.chatterjee.thomsonreuters.com@reuters.net)) 
 
Keywords: YIXIN GROUP LISTING/