(Jan 22): American depositary shares of RLX Technology Inc jumped 86% in their US stock market debut on Friday, giving the Chinese vaping firm a market capitalization of nearly US$35 billion.
RLX s shares opened at US$22.34, well above their initial public offering (IPO) price of US$12 per share. Shares were up 58% in early trade on the New York Stock Exchange.
The Beijing-based company offered 116.5 million shares in its IPO, raising US$1.4 billion, after having earlier targeted a price range of US$8 to US$10 per share.
RLX s debut comes at a time of heightened scrutiny of Chinese listings from the US government. Former US President Donald Trump signed legislation last month to delist Chinese companies that do not adhere to American auditing standards.
NEW YORK/MIAMI (Jan 21): Chinese vaping firm RLX Technology Inc sold shares in its U.S. initial public offering (IPO) on Thursday at $12 a piece, above its target range, to raise $1.4 billion, according to a person familiar with the matter.
The IPO values Beijing-based RLX at $18.6 billion. The company had set an initial target price range of $8-$10 per share for a sale of around 116.5 million shares. RLX did not respond to a request for comment.
RLX s share offering comes as Chinese listings face increased scrutiny from the U.S. government. Former President Donald Trump signed legislation last month that would kick Chinese companies that do not adhere to American auditing standards off U.S. stock exchanges. Trump also signed an executive order in November banning U.S. investment in companies deemed to have ties to the Chinese military.
Chinese vaping firm RLX valued at $35b as shares surge in US stock market debut
Photo : FORMM agency / Unsplash Premium
American depositary shares of RLX Technology Inc jumped 86% in their US stock market debut on Friday, giving the Chinese vaping firm a market capitalization of nearly $35 billion.
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Vaping Company First Major Chinese Listing on U.S. Markets This Year The maker of the RELX brand of vape pens and e-cigarettes - the market leader in China - hopes to take the company global.
Jan 22, 2021 | 09:00 AM EST
Shares in the first major Chinese IPO in the United States this year should start trading today, offering access to the international market for vaping products.
RLX Technology is raising US$1.4 billion by selling shares at US$12, according to Reuters, above its initial target range of US$8 to US$10.
The shares are due to start trading on the New York Stock Exchange today under the ticker RLX.