Yum China shares plunge after HK debut
After launching its business in Hong Kong, Yum China Holdings Inc recorded a 6.3% decline on Thursday. The drop broke the recent trend of achieving a prosperous opening for local listings as global markets’ volatility dragged investors’ sentiment.
In the early session, Yum China recorded a low of HK$386.2 ($50.35). The operator of KFC, Taco Bell, and Pizza Hut in China tallied shares worth 41.91 million at HK$412 each. Meanwhile, Hong Kong’s Hang Seng index advanced 0.15%.
“Investors whom subscribed for the stock, are unlikely to hold for long amid the softer tone in the U.S. stock lately,” said Steven Leung, executive director of institutional sales at UOB Kay Hian in Hong Kong.
The New York-listed Yum China shares closed 1.7% higher at $53.2 on Wednesday. However, the company’s stocks were 8.7% lower from its recent peak seen in September.