Chinese Tea Chain’s US Shares Rise 16% as IPO Defies Volatility

Shares of Chagee Holdings Ltd. jumped 16% in their debut session after the Chinese tea chain raised $411 million in its US initial public offering, defying a market besieged by trade-war volatility.

The Shanghai-based company’s American depositary shares pared initial gains to close at $32.44 each on Thursday, versus the IPO price of $28 apiece. Chagee priced 14.7 million ADS at the top end of their marketed range.

The trading gives the company a market value of $3.8 billion, based on the outstanding shares listed in its filings.

The deal helped turn Chagee’s 30-year-old chief executive officer into a billionaire, ...