{"id":74212,"date":"2023-10-17T00:00:00","date_gmt":"2023-10-17T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/logistics\/2023\/10\/17\/jt-global-express-halves-ipo-amid-weak-china-outlook-brazils-corn-shipments-are-under-pressure\/"},"modified":"2023-10-17T00:00:00","modified_gmt":"2023-10-17T00:00:00","slug":"jt-global-express-halves-ipo-amid-weak-china-outlook-brazils-corn-shipments-are-under-pressure","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/logistics\/2023\/10\/17\/jt-global-express-halves-ipo-amid-weak-china-outlook-brazils-corn-shipments-are-under-pressure\/","title":{"rendered":"J&T Global Express halves IPO amid weak China outlook + Brazil\u2019s corn shipments are under pressure"},"content":{"rendered":"

J&T Global Express eyes USD 500 mn Hong Ko<\/strong>ng IPO, slashing initial target by half:<\/strong>Tencent<\/a> -backed logistics outfit J&T Global Express<\/a> is looking to raise upwards of USD 500 mn via a share offering on the Hong Kong Exchange (HKEX)<\/a>, down from an initial plan to raise some USD 1 bn on weak demand, the Wall Street Journal (WSJ)<\/a> reports, citing a company statement. The company plans to float 326.55 mn shares at HKD 12 (USD 1.54) a piece, and expects its shares to begin trading on the HKEX by 27 October, the company reportedly said. Proceeds will go towards broadening the company\u2019s logistics network, broaching new markets, and R&D, WSJ wrote. <\/p>\n

Behind the downgrade: <\/strong>The company reportedly slashed the size of its IPO on the back of a weak outlook on China\u2019s economy and its tense relations with the US, the Financial Times<\/a> reports, citing analysts. <\/p>\n

Advisors:<\/strong>Morgan Stanley<\/a>, BofA Securities<\/a>, and CICC<\/a> are among the financial institutions cited by WSJ as joint sponsors for the IPO.<\/p>\n

J&T is big in MENA:<\/strong> Following its founding in Indonesia in 2015, the company expanded its delivery operations to 13 countries, including KSA, the UAE, and Egypt. <\/p>\n

Dry s<\/strong>pell disrupts corn shipments c<\/strong>oming out of the Amazonian rainforest: <\/strong>Brazilian shipping agents have alerted clients that a severe drought is restricting barge traffic along inland rivers, Reuters<\/a> reported. Barges are cutting their loads by as much as 50% in order to navigate waterways in the Amazon basin, with loading schedules also affected. Although lighter loads are business-as-usual for the dry season, the reductions observed this time are particularly drastic, the newswire wrote. <\/p>\n

But it\u2019s not that bad after all:<\/strong> Amport, a grouping of Amazonian private port operators, told the newswire that the main seaports receiving cargoes from inland rivers are operating normally. Despite the draft of private ports on inland waterways reaching record lows, Amport expects a 25% y-o-y increase in the volume of vegetable bulk shipments this year.<\/p>\n

ALSO WORTH KNOWING-<\/strong><\/p>\n