Since this year, Hong Kong stock market has shown significant recovery driven by marginal liquidity improvement and institutional dividend release. Especially, primary market issuance scale and activity have increased substantially.

Since the beginning of this year, driven by marginal improvement in liquidity and the release of institutional dividends, the Hong Kong stock market has shown a significant recovery. In particular, the issuance scale and activity in the primary market have greatly increased, confirming the recovery of market confidence.

According to Wind data (same below), as of June 24 this year, 72 companies have completed IPOs, a sharp increase from 43 in the same period of 2025; total funds raised reached HKD 153.62 billion, up 41.1% year-on-year.

Li Jindi, General Manager of Guangdong Genghao International Certification Co., Ltd., told Securities Daily that the IPO recovery in Hong Kong is due to multiple factors. On the policy side, the Hong Kong Stock Exchange's Chapter 18C special technology regime continues to optimize, with both listing thresholds and process efficiency improving, opening a green channel for hard-tech companies. On the liquidity side, the Fed's rate cut cycle continues and southbound funds keep pouring in, keeping Hong Kong's capital market well supplied. On the valuation side, after earlier adjustments, the valuation cost-effectiveness and attractiveness of Hong Kong's tech sector have become prominent.

Notably, many tech companies have listed in Hong Kong this year. Data shows that among the 72 companies, 23 were from the information technology sector (including semiconductors, electronic components, etc.), raising a total of HKD 91.67 billion, accounting for nearly 60% of total fundraising. Among them, the semiconductor products and equipment industry led the sub-sectors with HKD 36.02 billion raised.

Fu Yifu, a special researcher at Suzhou Commercial Bank, told Securities Daily that this not only reflects the increased global capital attention to China's technology manufacturing sector but also validates the significant effectiveness of relevant system reforms in supporting the listing of special technology companies.

In Li Jindi's view, for the Hong Kong market, the clustering of high-quality innovative companies helps optimize the asset quality of listed companies, improve index representativeness and long-term investment value; strengthen the 'technology-capital' cycle, attracting more venture capital, private equity, and industrial capital to settle.

Additionally, active participation of long-term funds and high enthusiasm for cornerstone investment is another striking feature of Hong Kong's IPO market this year. Data shows that 84.7% of IPO projects introduced cornerstone investors, with cornerstone subscription funds accounting for 40.5% of total fundraising, covering diversified long-term institutions including foreign asset managers, Chinese insurance companies, industrial leaders, and sovereign funds. Among them, UBS Global Asset Management (Singapore) Ltd. was the most active, appearing in the cornerstone investor lists of 11 companies.

Fu Yifu believes that the continuous increase in cornerstone investor participation fully demonstrates the consistent optimism of long-term capital about the long-term growth space of Hong Kong's hard-tech track.

It is worth mentioning that among the 72 Hong Kong IPO companies this year, 21 were already listed on A-shares, accounting for 29.2%. In terms of industry structure, among the 21 'A+H' companies, 10 were in the information technology industry, covering high-precision sub-sectors such as semiconductors, high-end electronics, and communication equipment, raising a total of HKD 59.8 billion.

Experts interviewed by Securities Daily generally believe that multiple factors are driving A-share companies to accelerate their layout on the 'A+H' track. First, Hong Kong, as a mature international capital market, can help companies broaden overseas financing channels, enhance global brand influence, and meet the capital needs of semiconductor and high-end manufacturing companies for overseas factory construction and global R&D. Second, the continuous optimization of the filing system for overseas listings of A-share companies has significantly reduced the compliance threshold and time cost for cross-border listings. Third, against the backdrop of global industrial chain restructuring, innovative companies urgently need to connect with international industrial capital through Hong Kong.

Taking Huaqin Technology Co., Ltd., which has achieved 'A+H' dual listing, as an example, its prospectus mentioned that listing in Hong Kong aims to build dual domestic and international capital platforms, broaden financing channels for global institutions and international investors, and match the large capital needs for overseas capacity expansion and overseas industrial chain investment. At the same time, it enhances brand exposure in overseas capital markets and improves recognition among overseas customers and supply chain partners.

In terms of project pipeline, there are currently 158 A-share companies queuing for listing on the Hong Kong Stock Exchange, covering multiple tracks including semiconductors, high-end equipment manufacturing, and consumption.

Looking ahead to the second half of the year, Li Jindi analyzed that the Hong Kong IPO market is expected to continue its recovery trend. Multiple favorable conditions will continue to provide support: first, sufficient projects in the queue; second, stable expectations for the return of Chinese concepts stocks to Hong Kong; third, favorable policies such as listing fee reductions and stamp duty adjustments continue to be implemented.