Zhongji Innolight opens 0.1% lower after HK$53.4 billion Hong Kong debut
The stock’s weak trading debut added to pressure on Hong Kong equities as softer China PMI data, a global tech selloff and concerns over the property outlook weighed on sentiment.
Zhongji Innolight’s weak Hong Kong trading debut added to a broader market retreat on Friday, with the Hang Seng Index falling 0.4%, or 108 points, to 25,750 as investors locked in profits after a recent rally. Sentiment was hit by China’s official PMIs returning to contraction in July, raising doubts about the pace of economic recovery, while losses deepened after Zhongji fell despite raising about HK$53.4 billion in one of the city’s largest IPOs this year. The move highlighted caution toward AI and semiconductor-related shares amid a wider global technology selloff. Property stocks also came under pressure as analysts warned Hong Kong’s housing rally may cool after a strong first half, although the city’s IPO market remained a relative bright spot with attention also on Shein’s planned Hong Kong listing. Major decliners included Xiaomi, Tencent, Meituan, AIA and Anta Sports.
- PMIs: Purchasing Managers' Indexes, surveys that track business activity and are widely used as indicators of economic momentum.
- IPO: Initial public offering, the process through which a company first sells shares to public investors.
- offer price: The set price shares are sold at in an IPO.