By Sherry Qin

Three Chinese companies, including a logistics services provider and a drug maker, have announced plans to raise nearly $2 billion of funds, signaling renewed confidence to tap investors' growing risk appetite.

Chinese express delivery firm S.F.Holding plans to raise 5.90 billion Hong Kong dollars, or about US$751.6 million, via a share placement and convertible bond issuance, it said in an exchange filing. The Shenzhen-based company plans to use the proceeds for business expansion, and to fund research and development.

The company debuted in Hong Kong in late 2024, raising around HK$5.7 billion in the city's second-largest listing of that year. It is also listed in Shenzhen.

Innovent Biologics, one of China's leading biotech companies, plans to raise HK$4.31 billion in gross proceeds by placing 55.0 million shares. It aims to use the funds for general corporate purposes.

Meanwhile, ZhongAn Online P&C Insurance, based in Shanghai, aims to raise HK$3.92 billion in gross proceeds via share placements for fintech investments.

Three sizable fundraising plans coming in one day points to a revival of deal activity in Hong Kong after years of lackluster momentum. Improved market sentiment and enhanced market liquidity have created favorable conditions for companies to tap the city's financial market.

Hong Kong has been one of the best-performing equities markets in the region this year, with the benchmark Hang Seng Index gaining 21% so far in 2025.

Shares of all three companies fell early Thursday, likely reflecting potential share dilution concerns due to the issuance plans. S.F. Holding dropped 4.3%, Innovent Biologics was down 3.9% and ZhongAn lost 4.7%.

Write to Sherry Qin at sherry.qin@wsj.com

(END) Dow Jones Newswires

June 26, 2025 00:42 ET (04:42 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.