Chinese spatial computing software developer firm Manycore Tech filed for an initial public offering (IPO) in Hong Kong on Friday, aiming to capitalise on strong investor demand for new stock offerings amid a slowing pace of listings.
The company did not disclose the size of the fundraising or the expected timing of the listing. A Bloomberg report last year said the company aimed to raise US$200 million.
Manycore Tech plans to use the IPO proceeds to accelerate international expansion, targeting markets in South Korea, Southeast Asia, India, the US and Japan, according to a filing with the Hong Kong stock exchange. Funds will also go towards broadening its e-commerce product suite, building its own data centres, strengthening its domestic sales and marketing network and boosting brand visibility, it said.
The filing came amid a buoyant IPO market in Hong Kong, where newly listed shares have gained an average of 19.4 per cent on debut this year.
More than 50 offerings raised nearly US$17 billion this year, placing the city’s exchange atop a ranking of global IPO venues, said Bonnie Chan Yiting, CEO of bourse operator Hong Kong Exchanges and Clearing, at an interim results briefing on Wednesday. Some 230 companies were in the application pipeline, even though the pace of new listings slowed in recent months compared with the first half of the year.
Hong Kong remains the preferred international fundraising venue for mainland Chinese enterprises, she said.