China Literature surges past 11 top Hong Kong firms in market value after only a day’s trading

With a market capitalisation of US$12 billion at the end of its market debut day, the Tencent unit is more valuable than famous names like Cathay Pacific and Lenovo

PUBLISHED : Wednesday, 08 November, 2017, 9:59pm
UPDATED : Wednesday, 08 November, 2017, 9:59pm

China Literature’s 86 per cent surge on its share trading debut has propelled the market value of mainland China’s largest online publishing and e-book website above that of several much better known Hong Kong listed companies.

Shares in the unit of internet giant Tencent closed at HK$102.4, giving it a market capitalisation of HK$92.8 billion (US$11.9 billion). It touched a daily high of HK$110 earlier in the morning, doubling its IPO offer price of HK$55, while 143 million shares changed hands during the day worth a total of HK$14 billion.

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The stellar debut means it has leapfrogged 11 of the 50 blue-chip stocks on the Hang Seng Index, including well-known names airline Cathay Pacific and computer firm Lenovo, as well as Hong Kong property developer Sino Land; dairy product maker China Mengniu Dairy; Want Want China, the country’s largest rice cracker and flavoured milk producer; Hang Lung Properties; electricity producer China Resources Power; conglomerate China Merchants Port; Swire Pacific; state-owned coal producer China Shenhua Energy, and Kunlun Energy, the natural gas distribution arm of PetroChina, according to data compiled by Et Net, a financial information provider.