The Hong Kong equity market extended its losses yesterday as concerns over the euro-zone debt crisis and the US budget stand-off eroded investor appetite for new issues.
Yesterday, children's health care product-maker Prince Frog International Holdings became the latest initial public offering to fall on its debut, closing down 2.69 per cent at HK$2.53.
Prince Frog, which was priced at HK$2.60 a share, raised a total of HK$590.6 million through its initial public offering to fund expansion of its sales network and production facilities.
The Hang Seng Index closed down 0.3 per cent, or 64.82 per cent, at 21,875.38 yesterday.
The Hong Kong benchmark lost 2.11 per cent this week, although it recovered some of its losses from Tuesday when reports suggesting that Greece was close to a sovereign debt default roiled markets.
Patrick Yiu Ho-yin, managing director at Cash Asset Management, said the Hong Kong stock market was likely to remain volatile next week, trading between 21,500 and 22,300.