A sign outside the Serbia Zijin Mining complex, operated by Zijin Mining Group Co., in Bor, Serbia, on Thursday Aug. 24, 2023.
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Zijin Gold shares surged over 60% Tuesday as the Chinese miner’s international unit made its trading debut in Hong Kong.
The company had raised nearly 25 billion Hong Kong dollars (about $3.2 billion) with shares priced at HKD$71.59 apiece, making it the world’s second-largest initial public offering after battery giant CATL’s listing earlier this year.
Zijin Gold’s debut, which was delayed by a day due to the impact of Super Typhoon Ragasa on Hong Kong last week, comes at a time when the yellow metal has been notching record highs. Spot gold recently surpassed $3,800 per ounce amid strong safe-haven demand, expectations of rate cuts, and global economic uncertainty.
The listing builds on a resurgence in Hong Kong’s IPO market this year that has collectively raised about $14.1 billion in the first half of this year, a 695% year-on-year increase from the same period in 2024.
Zijin Gold is the overseas gold-mining arm of China’s partially state-owned Zijin Mining that operates all of the group’s gold mines outside of China. Major investors in its IPO included Singapore’s sovereign wealth fund GIC, Hillhouse’s HHLRA and BlackRock Funds.
Zijin Mining, the largest producer of mined gold in China, had announced in April that it would carve out its overseas gold operations into the new Zijin Gold unit as part of a wider restructuring aimed at sharpening its focus on gold.
The group’s global footprint spans Central Asia, South America, Oceania and Africa. It engages in the full value chain of gold mining, from exploration and development to processing, smelting, refining, and sales.
In 2024, Zijin Mining produced 1.3 million ounces (40.4 tonnes) of gold, ranking it ninth globally in reserves, according to the company’s estimates.
