Hong Kong IPO boom faces weaker post-listing performance

Hong Kong’s stock market has become a leading global venue for initial public offerings, but many newly listed shares have struggled after debuting. The article says the issue is drawing attention because more companies are waiting to list and fundraising has remained strong. Data cited by the report show that about half of the 179 Hong Kong listings since January 2025 have fallen over the past three months. That compares with a smaller decline in the Hang Seng index and gains in a global IPO benchmark over the same period. The weakness is especially notable among stocks that later joined the Stock Connect program, which lets mainland investors trade Hong Kong shares. Several companies saw sharp gains before inclusion, then lost ground afterward. Analysts and market participants said capital may be shifting back to cheaper mainlandlisted shares, while regulators and state media have begun to highlight the pattern. Hong Kong exchange officials said share prices are affected by multiple factors.