FINANCE

Global Funds Flow Back to Hong Kong as Appetite for Chinese IPOs Grows

Published: Jan. 16, 2026 3:33 a.m. GMT+8

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The Hong Kong Stock Exchange in Hong Kong. Photo: VCG

More than half of the long-term global capital that exited Hong Kong's stock market in recent years has now returned, according to a senior Goldman Sachs executive, in a sign that renewed IPO activity and a fresh appetite for Chinese assets are helping to outweigh lingering geopolitical concerns.

The shift could eventually see up to 70% of the capital withdrawn capital flow back, as international investors chase returns from Chinese technology firms that are ramping up fundraising efforts, the Wall Street bank said.

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Between 50% and 60% of overseas long-term capital that exited Hong Kong from 2022 to 2024 has returned, with a potential to reach 70%.
Equity financing in Hong Kong rose to $96 billion in 2025, with IPO fundraising doubling to $17.7 billion and H-share listings increasing 2.7 times to $19.8 billion.
Refinancing in 2025 surged over fourfold to $38.8 billion, driven by major share sales and investments in AI and new energy sectors.

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Who’s Who

Goldman Sachs: Goldman Sachs, a Wall Street bank, has observed a significant return of long-term global capital to Hong Kong's stock market. According to Wang Yajun, co-head of equity capital markets for Asia ex-Japan at Goldman Sachs, 50-60% of capital that left between 2022-2024 has returned, with expectations that this could reach 70%. U.S. investors are leading this rebound, prioritizing financial returns over geopolitical concerns. Goldman Sachs data also shows a robust 2025 for equity financing in Hong Kong.

Dealogic: Dealogic is a data provider that, in collaboration with Goldman Sachs, reported an increase in total equity financing in Hong Kong in 2025, reaching $96 billion. This data also showed that IPO fundraising doubled to $17.7 billion and H-share listings nearly tripled to $19.8 billion in 2025.

BYD Co. Ltd.: BYD Co. Ltd. (比亚迪股份有限公司) completed a $5.6 billion share sale in early March 2025. This transaction was part of a broader surge in refinancing activities in Hong Kong, which increased more than fourfold in 2025. The company's large offering exceeded similar listings by other notable firms.

Xiaomi Corp.: Xiaomi Corp. issued a $5.5 billion offering in Hong Kong in March 2025. This significant refinancing contributed to a surge in Hong Kong's equity financing, which quadrupled to $38.8 billion in 2025. This demonstrates a renewed investor appetite for Chinese assets and Hong Kong's efficient fundraising processes.

Contemporary Amperex Technology Co. Ltd.: Contemporary Amperex Technology Co. Ltd. (CATL) conducted a highly anticipated $5.3 billion secondary listing in Hong Kong. This transaction was part of a larger trend of increased refinancing activity in Hong Kong in 2025, driven by capital-intensive investments in new energy sectors.

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What Happened When

Between 2022 and 2024：: Overseas long-term capital exited Hong Kong's stock market.

Early 2024：: US investors maintained a cautious stance and international fund participation in Goldman-led Chinese listings was at 10–15%.

2025：: Equity financing in Hong Kong reached $96 billion; IPO fundraising doubled to $17.7 billion; H-share listings rose to $19.8 billion; refinancing increased to $38.8 billion.

Early March 2025：: BYD Co. Ltd. completed a $5.6 billion share sale.

Late March 2025：: Xiaomi Corp. completed a $5.5 billion offering.

2025：: Contemporary Amperex Technology Co. Ltd. completed a $5.3 billion secondary listing.

By early 2026：: International fund participation in Goldman-led Chinese listings increased to 85–90%.

Thursday, January 16, 2026：: Goldman Sachs executive Wang Yajun stated that 50%–60% of the withdrawn long-term overseas capital had already returned to Hong Kong.

AI generated, for reference only