By Yifan Wang
Chinese electric-vehicle battery maker CALB Co. fell in its Hong Kong trading debut, becoming the latest newly listed company in the Asian financial hub to struggle with a cooling equities market.
Shares rose briefly before pulling back to trade 1.6% lower at 37.40 Hong Kong dollars (US$4.76). That compares with CALB's offer price of HK$38.00.
CALB, which produces battery products including those used in electric cars, raised about US$1.26 billion in net proceeds from its share sale. The initial public offering, though undersubscribed, was still one of the largest in Hong Kong amid a difficult year for new stock listings. Investors' appetite for growth assets has been curbed by higher interest rates and a looming global recession.
Two other companies also stumbled in their market debuts late last month. Electric-vehicle maker Zhejiang Leapmotor Technology Co. slumped 34% on its first day of trading, while Onewo Inc., a property-management-services provider controlled by real-estate developer China Vanke Co., closed 6.8% below its IPO price.
CALB said it will use the proceeds to build new production facilities for electric-car batteries and energy storage systems, as well as to invest in technology research and development.
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