ZTO Express plans to evolve into a complete logistics solutions provider as its shares make a strong debut in Hong Kong
- ZTO Express (Cayman), which raised HK$9.81 billion (US$1.27 billion) from the sale of 45 million shares at HK$218 each, rose 9,2 per cent on debut
- Company is mulling a listing on the Star Market, but there is ‘no definite plan’ at the moment, says CFO Yan Huiping
Chinese courier service giant ZTO Express (Cayman) said the capital raised from a secondary listing in Hong Kong would be used to transform the company into a comprehensive logistics solutions provider.
“The Chinese logistics market is still very much underserved,” said Yan Huiping, chief financial officer of ZTO. “In specialised areas such as cold chain, there’s no scale [and it’s] very much fragmented. The standard of service has not been fully established. ZTO is the best contender to make a foray into those areas.”
Alibaba owns the Post.
It could raise an additional HK$1.46 billion if an over-allotment option of 6.75 million shares is exercised.
ZTO closed the first day of trading in Hong Kong 9.2 per cent higher at HK$238. The shares trade at a 4 per cent discount to their New York-listed counterparts which ended at US$31.97 on Monday.
