A screen displays stock figures outside the Exchange Square complex, which houses the Hong Kong stock exchange, in Hong Kong, on Sept 16, 2019. (PAUL YEUNG / BLOOMBERG)

HONG KONG - Chinese mainland fintech firm Linklogis Inc rose on its debut in Hong Kong, with the Tencent Holdings-backed company snapping a recent run of disappointing listings in the city.

Shares of the Shenzhen-based firm closed 9.9 percent higher. Linklogis had priced its US$1.02 billion initial public offering near the midpoint of an indicative range at HK$17.58 per share, while the retail portion of its offering was 98.5 times subscribed by local investors.

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Its performance comes after a run of underwhelming listings in Hong Kong. Fintech firm Bairong Inc slumped 16 percent during its first day of trading last week, delivering the worst debut in three years, while video streaming service Bilibili Inc also fell. It is the second IPO deal exceeding US$1 billion launched in Hong Kong this year after Kuaishou Technology, which soared 161 percent on its debut in February.

ALSO READ: Tencent-backed Linklogis seeks US$1.1 billion in HK IPO

However, while Linklogis’ midpoint-pricing and ties to Tencent made it attractive, institutional demand was not particularly strong, said Steven Leung, executive director at UOB Kay Hian (Hong Kong) Ltd. “We are still in cherry-picking season where people are cautious about buying names without powerful cornerstone investors or solid businesses.”

The firm offers digital services to help facilitate supply chain finance transactions on the Chinese mainland. While its prospectus shows the company hasn’t made a profit in the last three years, revenue expanded 47 percent last year following an 83 percent surge in 2019.

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