Lygend Resource set its A-share IPO price at RMB21.23 per share for 173 million new shares on the Shenzhen Stock Exchange Main Board. The pricing was determined through institutional bookbuilding weighing peer valuations, subscription multiples and market conditions. The company did not disclose the oversubscription ratio, cornerstone investors or listing date.
Lygend Resource will issue 173 million new A shares at RMB21.23 apiece, pricing its Shenzhen Stock Exchange Main Board listing at a level set through institutional bookbuilding.
The price was negotiated between the company and its underwriters after weighing remaining quotations, proposed subscription quantities, effective subscription multiples, valuation levels of listed peers, the industry the company operates in, fundamentals, market conditions, fundraising needs and underwriting risks, the company said in a filing.
At RMB21.23 per share, the 173 million-share tranche raises roughly RMB3.67 billion ($515 million) before fees, based on the disclosed price and share count. The company did not disclose the retail oversubscription ratio, cornerstone investor commitments, use-of-proceeds allocation or the Shenzhen listing date in the announcement.
The pricing lands as the Hong Kong line absorbs selling pressure. Lygend Resource (02245.HK) fell 4.142%, or HK$0.710, with short selling of $1.88 million accounting for 8.563% of turnover as of 16:25 on Sept. 16, according to AASTOCKS data. HK stock quotes are delayed by at least 15 minutes.
The A-share tranche gives Lygend a second listing venue alongside its Hong Kong line, a structure that lets mainland and offshore investors price the same nickel and cobalt assets against different liquidity pools and investor bases. Comparable dual-listed resource names in Hong Kong and Shenzhen have traded at persistent gaps, and the RMB21.23 print establishes the reference point against which the Shenzhen debut will be measured.
For holders of the 02245.HK line, the pricing fixes the equity valuation anchor for the new shares while leaving the Hong Kong quote to absorb near-term flow. The next test is the Shenzhen listing date, which the company has not yet disclosed, followed by first-day trading that will show whether mainland institutional demand supports the RMB21.23 level.
This article is for informational purposes only and does not constitute investment advice.
