$4.3bn Foxconn Industrial Internet IPO attracts Alibaba, Baidu, Tencent

Foxconn Industrial Internet (FII) has attracted the investment of a number of leading Chinese firms during its $4.3bn initial public offering (IPO).

FII is a diversified unit for Foxconn outside of its traditional operations of manufacturing parts for smartphones, working on a range of project areas that include the internet of things (IoT), automated robotics, cloud computing, smart manufacturing and 5G.

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Between them, Alibaba, Baidu and Tencent have secured more than 65mn shares of the Hon Hai Precision spin off firm.

These three make up part of a wider group of 20 investors that took part in the IPO, with a total 590.8mn shares up for sale for the listed $4.3bn price, equating to a 23% stake in FII.

According to China Money Network, the 20 companies were chosen off the back of their reputation and market influence, posing as “strategic investors”.

Other Chinese investors included the state-owned Central Huikin Asset Management Ltd and China Railway Construction Investment company, purchasing 58.1mn and 43.6mn shares respectively.

The IPO marks China’s largest IPO since Guotai Junan Securities raised $4.8bn in 2015.