Baidu Seeks Hong Kong Listing Akin To Alibaba: Reuters

Chinese search giant Baidu Inc (NASDAQ: BIDU) will launch Hong Kong’s secondary listing on Friday. The company plans to sell around 4% of its shares, potentially raising $3 billion at the present valuation, Reuters reports.

  • Baidu’s Nasdaq listed stock gained 18.1% year-to-date at $255.14. The stock price reached a peak of $339.91 on Feb. 19.
  • The deal was ready since at least Tuesday. However, Baidu waited for the ease off in tech share volatility.
  • Advisors have been closely watching the Hang Seng Tech Index, which fell 6.4% on Monday, marking the largest daily decline since July 16, 2020. The index rose over 5% on Thursday but remains down 1.2% for the week over negative sentiments on the city’s tech stocks.
  • Baidu joins a bevy of U.S.-listed Chinese companies planning to get listed in Hong Kong, led by Alibaba Group Holding Ltd (NYSE: BABA) in 2019 when it sold $12.9 billion worth shares in Hong Kong to diversify from its sole New York listing. There were 12 secondary listings in 2020, which raised $19.06 billion.
  • Price action: BIDU shares are up 4.55% at $266.75 in the pre-market session on the last check Thursday.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: NewsIPOsTechMediaHong KongReuters
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!