Hong Kong’s new listing pipeline remains undeterred by Iran war volatility

Hong Kong’s stock exchange is leading a global listing boom for AI and technology firms, raising USD 13.3 billion in the first quarter of 2026—more than Nasdaq and the New York Stock Exchange combined. Despite geopolitical tensions and market volatility, including a 11.7% drop in the Hang Seng Tech Index, demand for AI-related stocks remains strong. Lightelligence, an optoelectronic computing company, raised HKD 2.5 billion (USD 319.1 million) in its April 28 IPO, with shares oversubscribed 5,700 times and trading at a 52-week high of HKD 998. The company, backed by Alibaba’s investment arm and Singapore’s GIC and Temasek, reported RMB 1.3 billion in losses for 2025 but focuses on AI chip interconnect solutions. Victory Giant Technology, a printed circuit board supplier to Nvidia, secured USD 2.6 billion in Hong Kong’s largest 2026 listing, with shares surging 60% on debut. Investors included Hillhouse Investment and Yunfeng Capital, backed by Alibaba co-founder Jack Ma. AI software firm Manycore Tech also saw an 185% debut gain, raising USD 156 million as the first of Hangzhou’s ‘six little dragons’ to list. The surge reflects investor appetite for ‘hard tech’ and ‘new economy’ companies, alongside a rise in A-to-H listings, where mainland firms seek dual listings in Hong Kong. Goldman Sachs noted this trend in a report, while Hong Kong Exchanges and Clearing (HKEX) processed 409 listing applications as of March. The exchange expects USD 60 billion in 2026 listings, driven by strong first-quarter activity. Despite the broader Hang Seng Index’s flat performance, tech listings have thrived, contrasting with a 3% decline in mainland China’s CSI300 index. Analysts attribute the momentum to limited AI stock availability in Hong Kong and optimism about China’s market, as noted by Richard Wang of Freshfields. The pipeline remains robust, with 409 applications under review, ensuring sustained deal volume.