Dr Chan: The First Notable IPO In Hong Kong For 2018

The Hang Seng Index broke above 30,000 points upon opening on the first trading day of 2018. However, an immediate correction ensued almost immediately. It seemed that 30,000-points level was deemed too high by some, leading to some profit taking.

However, the correction did not last and these investors were unable to buy back those stocks at lower prices as the Hang Seng index quickly recovered and closed 596 points higher.

Hong Kong-listed powerhouses, Tencent Holdings (700.HK), HSBC Holdings (HSBC)(005.HK), and AIA Group (1299.HK), saw their share prices surged once again. For HSBC, the Asian bank’s stocks hit a three-year high, greatly instilling market confidence at the start of the year. As a matter of fact, over the past decades, Hong Kong investors have tended to look at price movements of HSBC to determine the market sentiments.

Xiong An-concept stocks have also posted decent performance in the new year. Hopefully, there will be more favourable news when the 13th National People’s Congress takes place in March 2018. Judging by the trend, BBMG Corp (2009.HK)’s share price has already seen its worst on 7 December last year, when its share price plummeted to HK$3.32 at its lowest.

C-MER Eye Care Holdings’ IPO Worth Taking A Look

Many new stocks are preparing for IPO in 2018. The most notable one among which would be C-MER Eye Care Holdings (3309.HK) founded by Dr Dennis Lam.

Dr Lam was a professor and department head of Ophthalmology & Visual Sciences in the Chinese University of Hong Kong, and had founded the Project Vision Charitable Foundation over a decade ago. The organisation has become renowned for helping to many poor blind countrymen in China restore their vision.

Dr Lam decided to leave the Chinese University of Hong Kong in 2011 to run his own ophthalmic hospital, which was the first one in Hong Kong to enter the mainland Chinese market through the Closer Economic Partnership Arrangement (CEPA).

C-MER Eye Care is getting ready for IPO. Its cornerstone investors include big names like Ma Huateng and Michael Ying Lee-yuen. Thus, I see it as the first noteworthy IPO for 2018.

Sidetracking a little, in 2017, the total sales of properties of developers in the primary market amounted to HK$230 billion. However, the figure still lagged the Mainland counterpart. The three largest developers in China – China Evergarande Group (3333.HK), China Vanke (2202.HK), and Country Garden Holdings (2007.HK) – collectively posted combined sales of more than Rmb500 billion!