FC Securities Acts as Joint Bookrunner and Joint Lead Manager for Shanshan Brand’s Successful HK Listing


On June 27th, 2018, Shanshan Brand Management Co., Limited (“Shanshan Brand”; stock code: 1749.HK) was successfully listed on the Main Board of the Hong Kong Stock Exchange. First Capital Securities Limited ("FC Securities"), a wholly-owned subsidiary of China First Capital Group Limited ("CFCG"; stock code: 1269.HK), acted as the Joint Bookrunner and Joint Lead Manager in the listing of Shanshan Brand in Hong Kong.

In his speech at the listing ceremony, Mr. Zhuang Wei, Chairman of the Board of Directors and Non-Executive Director of Shanshan Brand, said that “Shanshan Brand, established in 1989, has always been a major player in China’s menswear manufacturing sector, renowned for our consistent stream of novel ideas that continue to change the country’s fashion landscape. The reasons for our Hong Kong listing are manifold. Now that Shanshan Brand is oriented toward a global mindset, we aim to expand our sales network, increase the scale of our online business, and improve our overall operations and management through the application of hi-tech technology.”

As a pioneer in the Chinese garment industry, Shanshan Brand is a notable marque, which over the course of 30 years has borne witness to the rise of China’s economy and the country’s booming fashion market. Shanshan Brand has many firsts to its name as well. It was the first to advertise garment items on CCTV; the first to open a dedicated suit store on Nanjing Road in Shanghai; and the first to be listed on the mainland stock market. As China’s menswear industry trailblazer, Shanshan Brand owes its success to strong brand positioning. It carries out the design, marketing and sales of formal and casual business menswear in China under three core brands: FIRS, SHANSHAN and LUBIAM, each of which has its own characteristics and positioning, catering to the tastes and desires of particular age groups and income ranges.

During the listing of Shanshan Brand, FC Securities assumed the dual roles of the Joint Bookrunner and Joint Lead Manager, a fitting testament to FC Securities’ power as a financial services provider and its management team’s expertise in commercial underwriting within the Hong Kong market.

As an international financial hub, Hong Kong has always been renowned for its transparency in listing approval, reliability in listing procedures, and accessibility to refinancing avenues. Following the introduction of Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect, the HKEX’s efforts at relaxing the rules on IPOs and overhauling current listing rules have opened the door to more listing opportunities for a large number of mainland start-ups to venture southward at a time when new rules such as weighted voting rights, NEEQ-listed firms listings, and H-share convertibility are in place in Hong Kong.

To maximise these emerging opportunities, FC Securities will continue to leverage the synergy achieved from its partnerships with domestic and foreign counterparts, and combine its local market know-how with resources from various worldwide financing channels through its close-knit global investment network. FC Securities has long been involved in Hong Kong IPO underwriting with major projects including: 21st Century Education, China Xinhua Education Group, Top Education Institute, China YuHua Education, Minsheng Educatio, China New Higher Education Group, Zhongyuan Bank, Postal Savings Bank of China, Luzhou Xinglu Water and Human Health Holdings. FC Securities’ IPO projects though are not restricted to the education industry. The company strives to provide investment and financing channels for Chinese enterprises and investors who seek listings in Hong Kong and seeks to assist foreign investors participating in China's capital market. In doing so, FC Securities can play a key role in connecting the mainland market and the Hong Kong market through services such as facilitating the liquidity of international resources, promoting corporate diversification, and helping to combine the key elements between industry and finance.