Chagee Holdings Limited (CHA, Financial), a Chinese tea brand, successfully launched its initial public offering (IPO) on Nasdaq. The company, founded in Kunming, Yunnan in 2017, marked its debut with a bell-ringing ceremony attended by employees, franchise partners, and investors. The IPO was priced at $28 per share, raising approximately $411 million.
The first trade of the stock opened at $33.75, reflecting a 20.54% increase from the IPO price. This significant rise highlights strong investor interest in the brand, which is known as the first Chinese tea beverage company to be listed on Nasdaq.
Earlier this year, Chagee received approval from the China Securities Regulatory Commission, becoming the 89th company to gain such approval under the new overseas listing regulations. The funds raised from the IPO are earmarked for technological investments, new product development, expansion of store networks, and building an overseas supply chain.
