Qingdao Port shares tumble on debut in HK

Shares of Qingdao Port International Co Ltd, operator of the world's seventh busiest port by shipping volume tumbled in their Hong Kong trading debut on Friday following lukewarm response from investors and concerns that the ongoing metal financing probe would hurt the mainland's third-largest foreign trade port.

Qingdao Port International, the primary operator of the port of Qingdao, in northeast China's Shandong province, saw its shares slide 1.33 percent from their listing price of HK$3.76 per share to close at HK$3.71 per share on the first day of trading at the Hong Kong Stock Exchange.

After a rare fixed price initial public offering, the port operator announced on Thursday that the net proceeds from the global offering was around HK$2.49 billion. According to its prospectus, 90 percent of the funds raised, or HK$2.24 billion, would be used for setting up cargo handling facilities at the Dongjiakou Port Area, a part of the Qingdao Port that will be able to handle 300 million metric tons of cargo every year after completion.