Dahon Technology (Shenzhen) Co, the Chinese mainland’s biggest maker of folding bicycles, jumped on its Hong Kong Special Administrative Region trading debut after investors flocked to its initial public offering.

The shares opened at HK$67.50 on Tuesday, up 36 percent from its HK$49.50 IPO price.

Though the IPO raised only HK$392 million ($50 million), retail investors applied for over HK$262 billion in margin loans to buy the stock, according to TradeGo data on the Futubull app. They ended up bidding for more than 7,500 times the number of shares available to them.

ALSO READ:  About 250 firms in line for Hong Kong IPOs

Dahon, which was founded in 1982, has benefited from a surge in demand in recent years for bicycles that don’t take up too much space. The company, whose bikes cost an average of around 2,400 yuan ($336) each, delivered profit and sales increases of 50 percent in 2024.

The offering attracted cornerstone investors such as affiliates of Allianz Global Investors. Dahon plans to use the proceeds from the deal on things such as increasing manufacturing capabilities and global expansion, it said.