China's Ligent Technologies seeks about $723 million in Hong Kong IPO

Sept 14 — China's Ligent Technologies is looking to raise around ​HK$5.67 billion ($723 million) through an initial public offering in Hong Kong, according to a ‌filing with the exchange on Monday.

The optical communications equipment maker ⁠is offering 172 million ​shares at an offer ⁠price of HK$32.96 apiece.

This price would give ‌the company a ‌market capitalisation of HK$32.398 billion ($4.13 billion), according to ⁠its prospectus.

Reuters reported ⁠on September 3 that Ligent, controlled by Chinese technology conglomerate Hisense Group Holding, is targeting to raise around $800 million in its IPO in the city, according to two people familiar with ‌the matter.

Ligent makes optical ​transceivers, optical chips and network terminals. Its products are used in data centres, cloud computing and telecommunications networks.

Proceeds from the offering will fund research and development of new products and technologies, expand production capacity and support general corporate ​purposes, among other uses, the company's prospectus showed.

The ‌company's shares are ‌slated ⁠to debut on the Hong Kong stock exchange on September 22.

Citigroup and Citic Securities are joint sponsors of the deal, while cornerstone investors include ‌GigaDevice and Mirae Asset ​Securities HK.

($1 = 7.8425 Hong ‌Kong dollars)

(Reporting by ⁠Nikita Maria ​Jino in Bengaluru; Editing by David Gregorio and ​Lincoln Feast.)

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