YH Entertainment Group, the artist management company famous for representing Chinese celebrity Wang Yibo, has pulled its first-time share sale in Hong Kong as investor interest didn’t meet its valuation expectations, a person with knowledge of the matter said.
(Bloomberg) — YH Entertainment Group, the artist management company famous for representing Chinese celebrity Wang Yibo, has pulled its first-time share sale in Hong Kong as investor interest didn’t meet its valuation expectations, a person with knowledge of the matter said.
The Alibaba Group Holding Ltd.-backed company was expected to price its initial public offering of as much as $140 million Wednesday, but decided to suspend the process and wait for better market conditions, said the person, asking not to be identified as the information is private.
The pulling of the IPO was first reported by IFR. An external representative for the company couldn’t immediately respond to a request for comment, while the company didn’t respond to calls seeking comment.
Hong Kong’s IPO market slump has outpaced the drop in global first-time share sales. Year-to-date volume in the Asian financial hub is nearly 80% below the levels seen last year, according to data compiled by Bloomberg, as a result of China’s economic slowdown and ongoing regulatory uncertainty.
YH Entertainment, which also counts ByteDance Ltd.’s Douyin app and media conglomerate CMC among its backers, manages artists, produces music and sells merchandise, according to a preliminary exchange filing. Other big-name artists in YH’s client roster include Meng Meiqi, Fan Chengcheng and Zhu Zhengting, all of whom shot to fame after appearing on popular variety shows.
China Securities International and China Merchants Securities are joint sponsors of YH Entertainment’s offering, the filing shows.
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