The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookiesbefore using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Russia: IRC forced to halve size of Hong Kong flotation

Chinese appetite for Russian risk remains relatively weak; Rare IT flotation on the way in London

Attempts by owners of Russian assets to tap cash-rich Chinese investors for much-needed funds through a listing on the Hong Kong Stock Exchange continue to struggle.

Despite an ostensibly positive backdrop, with strong initial investor demand and aftermarket performance by recent share deals in Hong Kong, Russian-related issuers have largely failed to convince potential buyers of the merits of their investment cases.

The latest example is iron ore miner IRC, a subsidiary of London-listed Petropavlovsk, Russia’s third-biggest gold producer. Although IRC is incorporated in Hong Kong, its principal operations are located in the Russian Far East. As such its attempt to raise money on the Asian bourse were closely followed, given the lacklustre reception for aluminium firm Rusal, the first Russia-related initial public offering in Hong Kong, whose flotation in January failed to ignite much interest and whose shares were still trading below their HK$10.80 listing level at HK$9.35 when IRC came to market.

IRC’s attempt to woo Chinese buyers has fared little better, with the size of the offering halved and the launch of the deal delayed on the back of concerns from Hong Kong market regulators.

Hopeful listing

When the listing prospectus was filed at the end of September it was hoped the deal would raise as much as HK$3.97

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree