China's Boss Zhipin IPO rises 96% in first day

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China's Boss Zhipin IPO rises 96% in first day

Kobo Xuang, owner of Chinese online recruitment platform Boss Zhipin, rose 96% in its trading debut after raising $912 million in an American initial public offering.

The eighth market gain was the first-day biggest, according to Bloomberg, from more than 450 listings of $100 million or more on the U.S. exchange, out of more than 450 listings of these terms or more.

Kanzhun's IPO comes after several other Chinese firms had put plans for US listings on hold in Beijing. The IPO filings by 32 other companies, in their United States. or Hong Kong, remain pending now, the data show.

Those in the wings now include ride-hailing giant Didi, the business name of Xiaoju Kuaizhi Inc. filed for an IPO on Thursday. While Didi hasn't set any terms for its share sale yet, the company is currently trading at a valuation of about $95 billion on the secondary market, Bloomberg News reported. Its IPO in 2021 is likely one of the biggest.

Kanzhun, which was selling 48 million American depositary shares on Friday for $19 each, closed at $37.20 in New York, giving the company a market value of almost $15 billion.

The company, backed by Chinese Internet giant Tencent Holdings Ltd., had marketed shares for $17 to $19 apiece to new investors. Each ADS represents two regular shares.

Blackstone Group Inc., a Texas-based outsourcing company backed by the blackstone giants and Isotraders, also rose on Friday in its trading debut. The company opened $304 million in its IPO, closed 35% to $31.09, giving the company a market value of more than $3 billion.

Our focus now is to make a great return for our public market shareholders, said TaskUs co-founder and Chief Executive Bryce Maddock in an interview. 'We need to trade this stock up.

The IPO of Kanzhun was the biggest from a Chinese company in the U.S. since last month's $947 million offering by Tuya Inc., according to Bloomberg show.

The backlog of pending IPOs by Chinese companies has increased after disappointing performances by some. Waterdrop Inc., a last Chinese company that went public in the USA, has dropped 34% from its initial price in early May to Go Public.

According to its prospectus, Kanzhun developed the Boss Zhipin mobile app, which connects job seekers and employers and is China's largest online recruitment platform. Its monthly active customers grew in the first quarter of 2021 from 14.5 million a year earlier to 24.9 million.

The company plans to use the IPO proceeds for research in technology infrastructure and to invest in technology development.

The offering was led by Morgan Stanley Group Inc., Goldman Sachs Group Inc. and UBS Group AG. Kanzhun's shares are on the Nasdaq Global Select Market under symbol BZ trading.

More stories like this are available in bloomberg.com.

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