Internet giant NetEase said it has priced its Hong Kong listing at HK$ 123 ($15.87) a share, as it gets set to become the second major U.S.-listed Chinese tech firm after Alibaba to do a second listing in the city.
NetEase will issue about 171 million new ordinary shares in an effort to raise HK$21.09 billion, which will be used to finance global expansion, pursuing innovation and general corporate purposes, the company said in a statement on Sunday.
Based on the fact that 25 ordinary shares represent one Nasdaq-listed American Depositary Share (ADS), NetEase said that the offer price translates to approximately $397 per ADS, adding that the price is based on several factors including the closing price of its ADSs on June 4.
CICC, Credit Suisse and J.P. Morgan are the joint sponsors and joint global coordinators for the offering.
NetEase expects its shares to begin trading on the Hong Kong Stock Exchange’s main board on June 11 under the stock code “9999”.
Contact reporter Ding Yi (email@example.com)