Chinese Appliance Giant Midea Set to Trade in Hong Kong After Raising $4 Billion

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Chinese Appliance Giant Midea Set to Trade in Hong Kong After Raising $4 Billion
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(Bloomberg) -- Chinese appliance giant Midea Group Co. will start trading in Hong Kong after robust demand for the biggest public stock offering in three...

-- Chinese appliance giant Midea Group Co. will start trading in Hong Kong after robust demand for the biggest public stock offering in three years revived hopes for the city’s languishing market.The Foshan, China-based company’s $4 billion upsized listing on Tuesday is Hong Kong ’s biggest debut since Kuaishou Technology’s $6.2 billion offering in early 2021. Midea , whose shares are traded in Shenzhen, priced its Hong Kong shares at the top end of the marketed range, at HK$54.80.

The company, founded in 1968, is China’s largest appliance maker and sells air conditioners, washing machines, elevators and other products. Some of the share sale proceeds would be used to expand its global distribution channels and sales network to boost overseas sales, it said.Midea’s debut may be arriving at an opportune time for the company.

Midea offered a roughly 20% valuation discount to its stock price in Shenzhen before the deal launched. After the debut in Hong Kong, the deal size could be increased to $4.6 billion later if an overallotment option is exercised.

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