Xiaomis Weak Debut Signals Trouble For Upcoming Hong Kong Tech Listings

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HONG KONG – Xiaomi Corp made a weak debut in Hong Kong on Monday, with the Chinese smartphone maker’s shares sliding as much as 6 percent on valuation concerns, in an ominous sign for its technology sector peers lining up listings in the city.

A packed initial public offering (IPO) calendar in the coming months will include a $4 billion deal from online food delivery-to-ticketing services platform Meituan Dianping and an up to $10 billion IPO from China Tower, the world’s largest mobile tower operator.

“Given the targeted high valuations of many new-economy IPO hopefuls and the number of IPOs going forward, it will be challenging for the market to digest all of them,” said Hong Hao, chief strategist at brokerage BOCOM International.




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