Zijin Gold International plans to raise over $3 billion in its Hong Kong IPO, potentially becoming the world’s largest listing this year after CATL.

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Against the backdrop of gold prices repeatedly reaching new highs, China’s largest gold mining company, Zijin Mining, is packaging its overseas gold business for listing.

On September 4, according to media reports citing people familiar with the matter, Zijin Mining Group’s international gold mining subsidiary—Zijin Gold International—is planning an initial public offering in Hong Kong, with a fundraising scale that could exceed $3 billion.

If the deal goes as planned, Zijin Gold International is expected to become the world’s second-largest IPO project this year, with the largest being CATL, which raised $5.3 billion when it went public in Hong Kong in May.

Sources say that due to gold prices hovering near historical highs, investor interest in this IPO is exceptionally strong. The listing could take place as early as this month, but the fundraising amount and timing are still subject to change, as discussions are ongoing.

International financing institution IFR previously also reported on this news, pointing out that the company’s IPO fundraising target has been raised from the initial about $2 billion to at least $3 billion.

Zijin Gold International’s listing plan also brings new highlights to the Hong Kong IPO market. Estimates suggest that, thanks to a wave of Chinese company listings, the total fundraising amount in the Hong Kong IPO market in 2024 is expected to double from before, surpassing $26 billion.

Gold Bull Market Drives Listing Boom

This IPO comes at a time when the gold market is performing strongly.

Driven by central bank purchases, expectations of interest rate cuts, and investors seeking alternatives to the US dollar, gold prices recently broke through $3,500 to hit new highs. Several Wall Street banks, including Goldman Sachs, predict gold prices will continue to rise; Goldman Sachs even warns that if the Federal Reserve’s credibility is damaged, gold could soar to nearly $5,000.

This trend has also boosted the capital market performance of other gold companies. Lao Pu Gold’s share price has reached new highs since its listing, with its market value surpassing HK$120 billion. Chifeng Gold, as one of this year’s first batch of “A+H” stocks, has risen over 60% since the start of the year.

As China’s largest gold mining company, Zijin Mining reportedly produced 73 tons of gold last year, 60% of which came from overseas projects. The company aims to increase production to 100–110 tons by 2028.

According to Frost & Sullivan, as of December 31, 2024, the company’s gold reserves rank ninth in the world, and its 2024 gold output ranks eleventh globally.

According to the prospectus, as of now, Zijin Gold International holds interests in eight gold mines in gold resource-rich areas such as Central Asia, South America, Oceania, and Africa, including core assets like the Jilau/Taror Gold Mine in Tajikistan, Norton Gold Fields in Australia, and Aurora Gold Mine in Guyana.

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