Two sources said China’s largest express delivery operator, SF Holding Co Ltd (002352.SZ), aimed to raise up to $3 billion in a second Hong Kong listing later this year, one of the city’s largest public offers.
According to reports, China’s FedEx Corp (FDX.N) and DHL (DHL.UL) have picked Goldman Sachs Group Inc (GS.N), Huatai Securities (601688.SS), and JPMorgan Chase & Co (JPM.N) to work on the offering, which may raise $2 billion to $3 billion.
One source said the Shenzhen-listed business, known for its SF Express delivery service, has initiated preparations for the Hong Kong listing and aims to file the prospectus with the Hong Kong exchange by June.
Private information shielded sources. Reuters received no response from 267 billion yuan ($38.63 billion) SF Holding. Huatai rejected comment.
JPMorgan and Goldman Sachs declined comment.
Bloomberg reported SF Holding’s IPO plans on Friday, citing sources.
The sale would help Hong Kong’s capital markets, which are unstable due to rising interest rates, inflation, and political worries.
Asian IPOs fell 53% in Q1 2023, according to Refinitiv.
Refinitiv reports $1.49 billion in fresh share sales this year, up from $1.2 billion in 2022.
SF, founded in 1993 by chairman Wang Wei in Shunde, southern China, is a major player in the world’s largest express delivery market, servicing almost the whole country.
Their rapid shipping service covers 100 countries, including the US and Japan, according to its 2022 annual report.
SF Real Estate Investment Trust (2191.HK) and Hangzhou SF Intra-City Industrial (9699.HK) listed in Hong Kong in 2021 after going public in Shenzhen in 2017.
It controlled Kerry Logistics Network Ltd. (0636.HK) after buying 52%.
