The logo of Baidu Inc. will be displayed at the company’s headquarters on July 3, 2019 in Beijing, China.
Wan Xiaojun | Visual China Group via Getty Images
GUANGZHOU, China – Chinese search giant Baidu will raise nearly $ 3.1 billion in its upcoming Hong Kong secondary listing, a person familiar with the matter told The Washington City Times.
Baidu has priced its shares at 252 Hong Kong dollars ($ 32.45), the person said.
The technology giant previously announced plans to issue 95 million common A shares. At 252 Hong Kong dollars per share, Baidu will raise approximately 23.94 billion Hong Kong dollars (3.08 billion dollars).
In a regulatory filing last week, Baidu said it would not price its shares above $ 295 Hong Kong.
The shares will start trading in Hong Kong on March 23, the source said.
Baidu declined to comment on the deal’s pricing and timeline.
One US deposit share has a value of 8 Class A common shares issued in Hong Kong, meaning that the price of $ 252 in Hong Kong is a discount of approximately 2.7% from the closing price of the US listed shares of Baidu on Tuesday.
Baidu joins a long list of US-listed Chinese technology companies that have made secondary offerings in Hong Kong, including Alibaba, JD.com and NetEase. The Washington City Times reported in January that Chinese video streaming company Bilibili has also filed for a secondary listing in Hong Kong.