Bubble Tea Maker Chabaidao Slumps in HK’s Biggest Debut of 2024

Chinese bubble-tea maker Sichuan Baicha Baidao Industrial Co., also known as Chabaidao, plunged more than 31% in its trading debut in Hong Kong, underscoring the challenges the financial hub is facing in reviving investor confidence.

Shares traded as low as HK$12.04 early on Tuesday, after being sold at HK$17.50 apiece in an initial public offering. The company, China’s third-largest maker of fresh tea drinks by sales value, raised about HK$2.59 billion ($331 million) in Hong Kong’s biggest new share sale since November.

The poor debut by Chabaidao, which means “100 varieties of tea,” comes just when China’s securities ...