Shandong Linglong Tire debuted in Shanghai stock exchange on Jul. 6 with the code number of 601966.
Share price of Linglong Tire rose 20% during the call auction and surged nearly 44% during the continuous auction.
Linglong Tire issued 200 million shares at 12.98 yuan/share, with a PE ratio of 22.97 times and an industrial PE ratio of 47.25 times.
The company raised 2.60 billion yuan through the IPO and the net value was 2.49 billion yuan.
The capital will be used for a technical reform program for high-performance passenger car tires with annual capacity of 1,000 sets and liquid capital supplementation, which are 1,785.08 million yuan and 800 million yuan, respectively.
The amount for liquid capital supplementation accounts for 30.9% of total fundraising.
Linglong Tire is one of China’s largest and most profitable tire producers.
Its products include all-steel radial tire, semi-steel radial tire and special-purpose tire of more than 3,000 models.
Products of Linglong Tire have been sold to much of the world and been provided to international carmakers, such as General Motors and Ford.
