(Yicai Global) Jan. 18 -- Four units under Ping An Insurance Group Co. are likely to list individually in Hong Kong this year in initial public offerings which could bump their value up to HKD634 billion (USD81 billion).
The Guangdong-based group's investment into the tech sector is beginning to pay off, Hong Kong Economic Times reported today. Of the four subsidiaries, Shanghai Lujiazui International Financial Asset Exchange Co., or Lufax, is attracting the most attention. The firm could list as early as March and be worth USD60 billion after its IPO, making it China's largest fintech firm.
Chinese fintech companies have been making headlines recently after four listed in the US late last year without success. Despite Qudian Inc. [NYSE:QD] hitting a record-high IPO value for a Chinese firm, it and Hexindai Inc. [NASDAQ:HX], Ppdai Group Inc. [NYSE:PPDF] and Jianpu Technology Co. [NYSE:JT] have struggled since China tightened regulation in the sector. All four are trading at less than their IPO price.
The other three units getting market ready are Ping An Health Internet Co., which runs health consultation app Ping An Good Doctor; Ping An Medical Health Management Co., a medical insurance management platform; and Shanghai OneConnect Technology Co., a fintech service firm. The units could be valued at up to USD5 billion, USD8.8 billion and USD7.5 billion, respectively, after listing.
Major Japanese tech investor SoftBank Group Corp. will take stakes in the lesser-valued three when they go public, the report added, saying its total investments could tally CNY18 billion (USD2.8 billion). SoftBank is also the largest shareholder in Hangzhou-based e-commerce stalwart Alibaba Group Holdings Ltd., with a 29.2-percent holding.
Ping An confirmed some business units are preparing to list, but said it hasn't laid out a specific schedule yet.