China-to-US IPOs hit top gear

摘要

Sizeable IPOs from Chinese companies are gathering pace in the US, with electric vehicle maker LI AUTO wrapping up the largest China-to-US listing since 2018 and property listing service KE HOLDINGS starting pre-marketing for a US$1bn-$2bn NYSE IPO. The moves underline the continuing appeal of the American stock market despite the passage of legislation by the US Senate that could force Alibaba Group Holding, Baidu and other Chinese companies to delist from US exchanges if they do not comply with US regulatory and audit standards. Li Auto, backed by Hong Kong-listed Meiruan Dianping, last Wednesday raised US$1.09bn from a Nasdaq IPO comprising 95m American depositary shares at US$11.50 each, above the US$8-$10 range. The deal generated strong demand despite a final valuation of about US$9.9bn, more than double the US$4bn price tag the company achieved when it closed a US$550m pre-IPO round as recently as July 1.