Rongye Food (WHYG.US) IPO priced at $4/ADS, raising $8.2M
1min read Rongye Food (WYHG.US), a meat processing company, has completed its initial public offering (IPO) of American Depositary Shares (ADSs) through its Chinese mainland subsidiary, offering a total of 2.05 million shares at a price of US$4.00 each, to be listed on the Nasdaq. The IPO is expected to start trading on November 26, 2024, with the stock code "WYHG", and the underwriters may exercise the over-allotment option to purchase up to 307,500 additional ADSs, which is expected to raise a total of US$8.2 million, with the entire issuance process expected to be completed around November 27. The funds will be mainly used for upgrading and expanding production lines, marketing, new product research and development, and daily operations and general corporate matters.
Rongye Food said that the funds raised from the IPO will be mainly used in four areas: upgrading existing production lines to improve production efficiency and quality; establishing new production lines to expand production capacity and product lines; strengthening marketing and promotion activities to enhance brand awareness and market share; and investing in new product research and development to maintain market competitiveness. In addition, part of the funds will also be used for the company's working capital and general corporate matters to ensure the company's stable operation and continuous development.
