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Tech

Semiconductor firm BaTeLab slips on Hong Kong debut

BaTeLab shares fell after the firm made its debut on the Hong Kong stock exchange on Thursday.

Shares in the Chinese integrated circuit products firm slipped 17.4% to HK$22.70 from their initial public offering (IPO) price of HK$27.47.

BaTeLab, which is backed by electric vehicle (EV) giant BYD, had initially guided for between HK$27.47 and HK$38.45 a share.

BaTeLab was a market leader in the supply of analog IC patterned wafers in China in 2022, generating some HK$352.5 million over the year.

Revenue growth has since slowed at the firm, however, reflecting a wider downturn in the global semiconductor sector.

Some HK$412.05 million was raised through the IPO, with the proceeds due to be put towards BaTeLab’s research and design capabilities, product portfolio and strategic investments.

Legal advisor Baker McKenzie commented that the timely conclusion of the offering was a “triumph [...] considering the current capital markets environment”.

“BaTeLab's debut has brought about fresh impetus to the Hong Kong initial public offering market,” partner Wang Hang added.

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