Chinese online travel firm Tongcheng-Elong will reportedly begin trading on the Hong Kong Stock Exchange on November 26, raising approximately HK$ 1.25 billion ($160 million), our sister site is reporting.

The 143.8 million shares are priced at HK$9.8, the lower end of the range after being set at between HK$9.75 and HK$12.65 each. CMB International Capital, JPMorgan Chase, and Morgan Stanley are the lead underwriters of the IPO. The company initially aimed at a fundraising target of between $800 million and $1 billion, but later adjusted its goals.

Tongcheng-Elong filed for a Hong Kong IPO on June 21. According to its prospectus, the company’s biggest shareholders are Chinese tech giant Tencent and online travel agent Ctrip, holding 25% and 23% of its shares respectively.

The company was formed through the merger of Tongcheng Network and E-dragon Holdings (Elong) in December 2017. It says the combined monthly active users of Tongcheng and Elong totaled 121.2 million in 2017. It offers transportation ticketing and accommodation booking services through various channels including WeChat and QQ, as well as through the company’s apps and websites.

Three of 2018’s biggest IPOs have taken place in Hong Kong. Telecom tower operator China Tower, smartphone manufacturer Xiaomi, and food delivery and services platform Meituan Dianping have all listed in the city, though three-quarters of companies that went public in Hong Kong have been trading at below their offering price.

Meituan’s share price plunged by 12% this morning (November 23), the most significant drop since its IPO in September after reporting losses and disappointing investors. Like Tongcheng Elong, Alibaba-backed parenting website operator Babytree Group also missed it’s projected fundraising amount when listing in Hong Kong, downsizing from $1 billion to $217 million.

Christopher Udemans is TechNode's former Shanghai-based data and graphics reporter. He covered Chinese artificial intelligence, mobility, cleantech, and cybersecurity.

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