Market Insight | ZHONGGAN COMM plunges more than 19% in the afternoon, down over 60% from its IPO price after four days of listing

ZHONGGAN COMM fell by more than 19% in the afternoon, with its stock price dropping over 60% from the IPO price of 1.25 Hong Kong dollars in just four trading days. As of the time of writing, it has dropped by 17.27% to 0.455 Hong Kong dollars, with a turnover of 1953.49 million Hong Kong dollars. It is reported that ZHONGGAN COMM focuses on providing telecommunications infrastructure services and digital solutions in China. According to the prospectus, the company's clients include major participants in China's telecommunications industry and the world's largest telecommunications tower infrastructure service providers. It is worth noting that ZHONGGAN COMM has a high dependence on large clients. In 2023, revenue from the top five clients of ZHONGGAN COMM is expected to be approximately 592 million yuan, accounting for about 97.2% of its total revenue, with the largest client contributing about 48.8% of the total revenue. Prior subscription results showed that ZHONGGAN COMM's public subscription multiple reached 196 times, while the institutional subscription multiple was 1.5 times, with a final clawback of 50%