SUMMARY
This is AI generated summarization, which may have errors. For context, always refer to the full article.
Nongfu Spring founder Zhong Shanshan became China’s second richest man in an instant on Tuesday, September 8, after his water bottling company’s spectacular debut on the Hong Kong stock exchange.
Shares in the company – which claims to be number one in China’s massive bottled water market – surged 85% at the bell after an initial public offering (IPO) that was oversubscribed by more than 1,100 times.
It opened at HK$39.80 (US$5.14) – compared with its introductory price of HK$21.50 – before finishing its first day of trading at HK$33.10.
The surge pushed the fortune of founder Zhong to more than $51 billion, making him the second wealthiest person in China after Alibaba’s Jack Ma, according to Bloomberg News.
Zhong founded the company in 1996 and now owns 84% of it.
His fortune, according to Bloomberg, was boosted in April when Beijing Wantai Biological Pharmacy Enterprise Company – in which he is the biggest shareholder – went public in a Shanghai IPO.
Nongfu Spring, based in the eastern Chinese city of Hangzhou, supplies mineral water, while most of its competitors sell purified water.
Its products are ubiquitous across the country, where most people shun tap water for health reasons.
The brand holds about a quarter of the bottled water market in China, according to London-based research firm Mintel. – Rappler.com
Add a comment
How does this make you feel?
There are no comments yet. Add your comment to start the conversation.