(Bloomberg) -- Chinese kitchenware maker Carote Ltd., which is set to be the first company to list in Hong Kong since Midea Group Co.’s $4.6 billion debut, has drawn interest from investors including Hillhouse Investment and Shunwei Capital, according to people familiar with the matter.
The potential initial public offering of Carote has attracted more than 1,300 times subscription on the IPO’s Hong Kong tranche, the people said, asking not to be identified because the matter is private. Hangzhou, China-based Carote closed order books a day earlier than planned last week given the strong demand, the people said.
The company has raised roughly HK$751 million ($97 million) after pricing shares at HK$5.78 a share, the top of the marketed range, the people said. Carote plans to list the shares in Hong Kong on Wednesday.
A representative for Carote declined to comment, while Hillhouse and Shunwei didn’t immediately respond to requests seeking comment.
Providing an even better backdrop for Carote’s debut are recent measures to prop up China’s economy. Chinese stocks on Monday extended one of their most remarkable turnarounds in history, soaring for a ninth straight day as government stimulus entices investors back to one of the most beaten-down markets worldwide.
Founded in 2007, Carote makes kitchenware including pots and pans, tableware and beverage containers. It generated a profit of 88.5 million yuan ($12.6 million) for the first three months of 2024, up 58% from the same period last year, Carote’s listing documents show.
Hong Kong listings have raised more than $7 billion this year, eclipsing last year’s annual total but far below the $51.7 billion raised in 2020, according to data compiled by Bloomberg.
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