This article first appeared on GuruFocus .
Luxshare Precision Industry, a Shenzhen-based components manufacturer that assembles products such as iPhones and AirPods for Apple ( NASDAQ:AAPL ), appears set to raise HK$24.3 billion, or $3.1 billion, from its Hong Kong listing after telling prospective investors it plans to price shares at the top of its indicated range.
The company is planning to sell 383.5 million shares at HK$63.28 each, representing a 13% discount to its Shenzhen closing price of 62.88 yuan on Monday. The deal is expected to become Hong Kong's biggest first-time share sale this year, surpassing the HK$23.1 billion April listing of Victory Giant Technology Huizhou, a printed circuit board maker.
For investors, Luxshare's listing could further reinforce the wave of AI-linked and technology-related offerings that have pushed Hong Kong share sales to a five-year high despite a sluggish equity market. Luxshare has climbed more than 80% in Shenzhen over the past year, reaching a market value of $71 billion, while its expansion into automotive electronics, communication, data centers, AI devices, 3D printing, robotics, and the low-altitude economy may keep investor focus on its next growth phase.
