(Adds deal detail)
HONG KONG, March 31 (Reuters) – Tencent-backed Chinese fintech firm Linklogis Inc. will price its shares at HK$17.58 each – slightly above the flagged mid point – to raise up to $1.02 billion in its initial public offering (IPO), according to two sources with direct knowledge of the matter.
The sources could not be named as the information was not yet public.
Linklogis did not immediately respond to a request for comment.
The firm, which specialises in supply chain finance technology, sold 452.87 million shares in the deal.
At HK$17.58 each, the price is above the mid point of price range of HK$16.28 to $HK18.28 flagged when the IPO launched on March 26.
The deal would have raised $1.06 billion had shares been priced at the top of the range. The institutional tranche of the deal was several times oversubscribed, according to one source with direct knowledge of the matter.
Linklogis shares are due to start trading on the Hong Kong Stock Exchange on April 9.
Its first day performance will be closely watched for signs that investor appetite towards IPOs in Hong Kong its starting to wane.
Bairong Inc, a Chinese artificial intelligency powereed tech platform, shares slumped 16% in its first day of trading on Wednesday after it raised $506.8 million.
There were $37.6 billion worth of IPOs in Asia during the first quarter of 2021, accoring to Refinitiv data.
Before the IPO, Tencent held 18.89% of Linklogis, according to its listing documents. The company also counts CITIC Capital, GIC and Standard Chartered as major investors.
The deal has attracted six cornerstone investors who will take $365 million worth of stock, according to the listing documents.
BlackRock and Fidelity were the largest cornerstone investors, having subscribed for $100 million worth of stock each.
$1 = 7.7735 Hong Kong dollars Reporting by Scott Murdoch in Hong Kong, editing by Louise Heavens
