Yonghe Medical Group Co. shares rose more than 9.0% in their Hong Kong trading debut after the Chinese hair-transplant specialist raised net proceeds of 1.36 billion Hong Kong dollars ($174.4 million) in an initial public offering.
Shares of the Beijing-based company initially rose 9.4% from their IPO price of HK$15.80, and were last 6.3% higher at $16.80.
The company, which focuses on hair transplants and other hair care, plans to use its IPO proceeds to upgrade and expand clinics in China and invest in service-system technologies. Lake Bleu Prime Healthcare Master Fund and the Hudson Bay Master Fund are cornerstone investors in the company.
Yonghe Medical has operated since 2005 and has 53 hair-transplant clinics in China, up from 22 clinics in 2017.
The listing comes at a time when various Chinese companies in the healthcare industry are rushing to wrap up deals before the end of the year, raising billions of dollars in combined proceeds.