Apple Supplier Lingyi Set for HK Debut After $1.1 Billion Float

Lingyi iTech Guangdong Co., a Chinese manufacturer of electronic components, began trading on the Hong Kong Stock Exchange on Friday, November 17, 2023, following an initial public offering (IPO) that raised HK$8.3 billion (approximately $1.06 billion). This listing marks one of the busiest periods for new stock market debuts in Hong Kong during 2023. The company's IPO was priced at HK$24.50 per share, with the offering being 12.5 times oversubscribed. Lingyi iTech is a significant supplier to Apple Inc., producing components for iPhones and iPads, and also supplies other major technology firms such as Amazon and Google. The funds raised from the IPO are designated for expanding production capacity, enhancing research and development capabilities, and for general corporate purposes. The company's successful listing is seen as a positive signal for the Hong Kong IPO market, which has faced challenges due to global economic uncertainties and geopolitical tensions. Lingyi iTech's revenue for the first nine months of 2023 reached RMB 20.1 billion (approximately $2.8 billion), representing a 1.8% increase compared to the same period in 2022. Net profit for the period was RMB 1.2 billion (approximately $168 million), a decrease of 14.4% year-on-year.