Mixue Bubble Tea Chain RISES High in Hong Kong IPO Debut as Retail Investors FLOCK
Shares of Mixue Group, China's largest bubble tea chain, jumped more than 47% in their debut on the Hong Kong Stock Exchange on Monday, with new listings recording their strongest start to a year since 2021. The company raised $444 million in an initial public offering by selling 17 million shares at a fixed price of HK$202.5 each. Mixue's high profile among Chinese consumers for selling drinks for as cheap as 6 yuan and a lack of IPOs in Hong Kong drove demand for the stock from retail investors.
- The popularity of Mixue among Chinese consumers, combined with the city's shortened IPO settlement period, has created an attractive environment for retail investors, who are eager to participate in new share sales.
- As the market continues to rebalance after a tumultuous 2022, will this trend of strong retail interest in Hong Kong IPOs be sustained, and what implications might it have for the overall performance of listed companies?