Ping An’s Good Doctor unit raises $1.1 billion in Hong Kong
HONG KONG (Reuters) – Ping An’s Good Doctor online healthcare platform has raised $1.12 billion in its initial public offering, pricing its shares at the top of its range in Hong Kong’s largest new listing this year, two sources with knowledge of the matter said.
The company – Ping An Healthcare and Technology Co Ltd (1833.HK) which operates China’s largest online healthcare platform – priced 160 million shares at the top of a HK$50.80–$54.80 range, they said.
The IPO comes as Hong Kong is set to implement new listing rules from Monday, April 30 to attract more so-called new economy companies, mainly in the technology and biotech sectors, as part of efforts to compete with New York.
Two Chinese biotechs have axed plans to list in New York and instead aim to raise up to $800 million in Hong Kong IPOs, seeking to cash in on new rules to woo early-stage drug developers, Reuters reported on Thursday.
Founded in 2014, the company also known as Ping An Good Doctor was among several tech start-ups backed by Ping An Insurance Group Co of China Ltd (2318.HK) (601318.SS).
Good Doctor delivers healthcare services such as online family doctors and health mall services through its mobile platform. It has a nationwide network of healthcare service providers covering 3,100 hospitals, 1,100 health check-up centers, 500 dental clinics and 7,500 pharmacy outlets.
More than 200 investors participated in the Ping An Healthcare share offering, a separate source with knowledge of the matter said.
Ping An Healthcare and Technology Co Ltd
1833.HKHONG KONG STOCK
All the sources declined to be identified as they were not authorized to speak to the media. A Ping An Group representative declined to comment on the unit’s pricing.
Ping An Healthcare, in which Ping An Insurance will hold a 39.27 percent stake on completion of the offering, will debut on the Hong Kong stock exchange on May 4.
The company has secured seven cornerstone investors including Singapore’s sovereign wealth fund GIC, Canada Pension Plan Investment Board and U.S. asset manager BlackRock, it said in a filing to the Hong Kong bourse on Monday.
The company added that proceeds raised from the IPO would be used to fund acquisitions and strategic alliances as well as for research.
Citigroup (C.N) and JPMorgan (JPM.N) are the joint global coordinators and joint bookrunners of the issue.