LIGENT (09856.HK), a provider of optical communication and optical connectivity products, commenced its Hong Kong public offering on September 14, with the subscription period running through September 17. The company plans to offer 170 million shares, with 10% allocated for public subscription in Hong Kong, at an issue price of HK$32.96 per share, aiming to raise approximately HK$5.67 billion. Trading is expected to commence on September 22, with Citigroup and CITIC Securities acting as joint sponsors. Each board lot consists of 100 shares, with a minimum investment of HK$3,329.2 per lot.
As of 7:00 PM on September 15, based on the public offering portion's fundraising target of HK$570 million, LIGENT recorded a margin oversubscription of 8.13 times, involving a total of HK$5.206 billion in marginal financing. The company specializes in the research, development, manufacturing, and sales of optical modules, optical chips, and optical network terminals.
Where to begin with LIGENT's market position? In 2025, the company held a 4% share of the global optical module market by revenue, ranking fifth among all professional optical module manufacturers worldwide. Domestically, it captured a 10.1% market share by optical module revenue in China, securing the third position. Financially, LIGENT reported revenue of RMB 8.35 billion in 2025, up 64.2% year-over-year, while profit surged 875.1% to RMB 870 million. For the first half of 2026, revenue grew 27.9% to RMB 5.39 billion, and profit for the first three months rose 29.7% to RMB 660 million.
What about cornerstone investors? LIGENT has secured commitments from a roster of prominent institutions, including Primavera Capital Fund, Orient Asset Management, GF Fund, E Fund, Hillhouse Capital Group, Gaoteng International Asset Management (over 40%-owned by Tencent), GigaDevice, Amlogic Hong Kong, and Barings, among others. These cornerstone investors have collectively subscribed to approximately USD 340 million worth of shares.
Regarding the use of net proceeds, 52.9% is allocated for investment in new product development and technology research; 25.1% will fund the expansion of optical module and optical chip production capacity while enhancing automation levels; 4% is designated for business promotion and overseas market expansion; 8% is earmarked for strategic investments and acquisitions both domestically and internationally; and 10% will serve as working capital and for general corporate purposes. This article is compiled based on publicly available information and does not constitute investment advice.