Smoore International stock (HK: 6969) grew by nearly 150 percent on its opening day of trading on the Hong Kong Exchange. After an initial public offering (IPO) of HK12.40, the stock closed at HK31.00 ($4) on Friday.
“As the global leader in offering vaping technology solutions, Smoore’s mission is to build the world’s leading vaping technology platform to bolster the innovation and development of vaping technology with a wide range of applications,” Cloris Li, a Smoore spokesperson, told Vapor Voice. “In the next three to four years, Smoore plans to invest more in improving production capacity and upgrading equipment, including setting up new manufacturing facilities and research institute of group level as well as installing automated production lines and IT equipment.”
According to Frost & Sullivan, a business consulting firm, Smoore is the world’s largest vaping device manufacturer in terms of revenue, accounting for 16.5 percent of the total market share in 2019. “In the past 14 years, we have been firmly grounded to focus on advanced R&D technology, strong manufacturing capacity, wide-spectrum product portfolio and diverse customer base. We are glad about what we have achieved and will take this as a new start,” said Li.
The Shenzhen-based company offered 574 million shares, according to the company’s prospectus, and had indicated the stock would be priced between HK$9.60 and HK$12.40 per share. According to an article by Reuters, Smoore had locked in 10 cornerstone investors which accounted for $340 million of the total raising, the prospectus showed. The largest of those investors were Huaneng Trust which took $80 million worth of stock, and Prime Capital which took $50 million, according to its prospectus.
“After being listed on the Hong Kong stock market, Smoore is probably going to be able to invest more in the R&D and application of heating technology, for instance, in the medical atomization arena,” said Li. “Meanwhile, we are able to better serve our clients and provide a better life for our employees. As a leader in this field, Smoore is also able to play a more important role in shaping the industry and the whole of society.”