Two new listings stumbled in their Hong Kong trading debuts after raising a total of $1.5 billion in tumultuous market conditions, casting a cloud over a growing pipeline of companies preparing to go public in the Asian financial hub.
Shares of Zhejiang Leapmotor Technology Co., a Chinese electric-vehicle maker, fell as much as 42% below their initial public offering price within their first few hours of trading on Thursday. The seven-year-old company raised $800 million in its IPO—significantly less than the $1.5 billion it had previously aimed for—after pricing its shares at the bottom of a guided range.
