Courier J&T Global Seeks to Raise $501 Million in Hong Kong IPO

Courier services provider J&T Global Express Ltd. is seeking to raise about HK$3.92 billion ($501 million) through an initial public offering in Hong Kong, the city’s second-largest so far this year.

(Bloomberg) — Courier services provider J&T Global Express Ltd. is seeking to raise about HK$3.92 billion ($501 million) through an initial public offering in Hong Kong, the city’s second-largest so far this year. 

The company is taking orders until Oct. 19 for about 326.6 million shares, which are being sold at HK$12 each, according to a statement on Monday. Pricing is expected on Oct. 19, with listing slated for Oct. 27.

The IPO is poised to be the biggest in the Asian financial hub since ZJLD Group Inc.’s $676 million listing in April. J&T Global’s offering will test investor appetite in Hong Kong, where new share sales are down nearly 80% versus the same period last year.

Nine cornerstone investors committed to buy about $200 million worth of J&T Global shares, according to terms of the deal seen by Bloomberg News. They include Tencent Holdings, SF Express and Temasek, the Singapore state investment firm.

Courier J&T Global Said to Win HKEX Nod for $500 Million IPO

J&T Global, which began operations in Indonesia in 2015, will be closely watched by rivals seeking to tap Hong Kong’s IPO market. Cainiao Smart Logistics Network Ltd., the logistics arm of Alibaba Group Holding Ltd., and SF Holding Co. filed earlier this year for listings in the city.

Morgan Stanley, Bank of America Corp. and China International Capital Corp. are arranging the IPO for J&T Global.

–With assistance from Pei Li.

More stories like this are available on bloomberg.com

©2023 Bloomberg L.P.