HONG KONG, Dec 11 (Reuters) - Shares of Jingdong Industrials Inc, a unit of Chinese online retailer JD.com, are set to open down 7.8% in their Hong Kong Stock Exchange debut on Thursday, after the company raised HK$2.98 billion ($383.08 million) in a listing.
Shares of the industrial supply chain technology and services provider are set to open at HK$13 each, as compared to the listing offer price of HK$14.10 apiece. That lagged a 0.7% rise in the benchmark Hang Seng Index.
The long-awaited IPO comes as U.S. market volatility has weighed on Hong Kong listings, with investor caution rising after a blockbuster year that crowned the city as the world's top listing venue by deal volume.
Hong Kong's Hang Seng Index is up 28% this year, outperforming U.S. benchmarks, though it has fallen by about 4% so far in the fourth quarter, LSEG data showed.
The IPO of Jingdong Industrials, also known as JDi, fell short of its initial target of $500 million, sources have said. Its valuation in the offering - about $5 billion based on Reuters calculations - was lower than its $6.7 billion valuation in a 2023 pre-IPO funding round.
JDi said it planned to use about 35% of the IPO's proceeds to enhance its supply chain over the next two to three years. Another 25% of the funds will be spent on expanding the JDi business across different locations.
($1 = 7.7791 Hong Kong dollars)
(Reporting by Kane Wu and Donny Kwok; Editing by Himani Sarkar and Thomas Derpinghaus)
By Kane Wu and Donny Kwok
