Addentax Group (ATXG) IPO debuted on the Nasdaq at $5.00 Wednesday for a market cap of $158 million. On the first day of trading the company closed valued at $20.8 billion, having soared 13,031% from the offer price in its debut. In afterhours ATXG traded as high as $1147. That was the highest first-day pop Renaissance Capital has recorded in their 30+ year history.
The company was previously listed on the OCTQB and saw virtually no trading. Addentax Group raised $25 million in its Nasdaq uplisting by offering 5.0 million shares at $5.00 per share in an offering underwritten by New Jersey-based Network 1 Financial Securities.
- Underwriters Network 1 Financial Securities
- Headquarters Shenzhen, China
- Founded 2014
- Employees 126
- Website Corporate Profile- 盈喜集团股份有限公司|ATXG (addentax.com)
ATXG closed Wednesday at $656.54, with total volume of just over 500,000 shares for the day, or one-tenth of the offering size. Pre-IPO shareholders are subject to a one-year lock-up agreement.
Addentax Group is a garment manufacturer and logistics service provider based in China. Their garment manufacturing business consists of sales made principally to wholesalers located in the PRC.
We have our own manufacturing facilities, with sufficient production capacity and skilled workers on production lines, which we believe ensures that we meet our high quality control standards and timely meet the delivery requirements for our customers. We conduct our garment manufacturing operations through two wholly-owned subsidiaries, Dongguan Heng Sheng Wei Garments and Shantou Chenghai Dai Tou Garments, which are located in the Guangdong province, China.
Our logistic business consists of delivery and courier services covering approximately seven provinces in China. Although we have our own motor vehicles and drivers, we currently outsource some of the business to our contractors. We believe outsourcing allows us to maximize our capacity and maintain flexibility while reducing capital expenditures and the costs of keeping drivers during slow seasons. We conduct our logistic operations through two wholly-owned subsidiaries, Shenzhen Xin Kuai Jie Transportation and Shenzhen Hua Peng Fa Logistic, which are located in the Guangdong province, China.Addentax Website
Source: Renaissance Capital
From the TradersCommunity Research Desk