Shares of DRB-Hicom Bhd surged to a three-month high after delivering earnings well above expectations. The stock climbed as much as 8% to RM1.24, valuing the group at roughly RM2.4 billion. But beneath the headline beat, analyst opinions remain sharply divided. What Drove the Surprise According to Hong Leong Investment Bank : 4QFY2025 core PATAMI: ~RM136 million FY2025 core earnings: ~RM178 million Earnings came in at 189% of HLIB’s forecast Key drivers: Strong Proton vehicle sales Improved margins Land sales contribution Proton highlights: 19,800 units sold in January 2026 (record high) Over 100,000 bookings for Saga MC3 3,000+ deliveries of e.MAS 5 EV in January Consolidation of manufacturing at Tanjung Malim for cost efficiency Money Master Take This is a classic case of headline beat vs structural sustainability . 1️⃣ Proton Is Carrying the Story The turnaround narrative rests heavily on Proton. Sales momentum is strong EV adoption gaining traction Geely reg...
Hong Kong’s primary market is showing clear signs of revival.
Four companies launched share offerings on Friday, aiming to raise up to HK$4.9 billion (US$626 million) combined — extending what is already the city’s strongest start to a year since 2021.
A Strong Start to 2026
Hong Kong Exchanges and Clearing has seen IPOs and secondary listings raise approximately US$5.5 billion in January, the best January performance since 2021 (US$7.6 billion).
The Lunar New Year pause is over — and deal flow is accelerating.
Money Master Take
This isn’t just about four IPOs.
It’s about what reopening issuance tells you about capital markets.
1️⃣ Primary Market Confidence Is Returning
When IPO pipelines reopen aggressively:
Bankers sense demand
Issuers believe valuations are acceptable
Institutional money is deploying capital
The fact that four deals launched simultaneously suggests risk appetite has improved materially in Greater China equities.
2️⃣ Sector Positioning Is Not Random
Look at who is listing:
Advanced manufacturing (micro-drive systems)
Industrial robotics
IoT and wireless modules
Reusable logistics packaging
This aligns with:
Automation theme
AI hardware supply chain
Smart manufacturing
ESG-driven logistics efficiency
The pipeline is heavily tilted toward industrial tech and hardware enablers, not consumer discretionary.
That matters.
3️⃣ Liquidity Is Flowing Back Into China-Linked Assets
Strong January issuance (US$5.5B) combined with new February launches signals:
Offshore funding channels are reopening
Hong Kong is regaining regional capital-raising relevance
Equity capital markets desks are confident in absorption capacity
IPO windows open only when secondary-market stability improves.
4️⃣ What Investors Should Watch
IPO waves often tell you more about cycle positioning than the companies themselves.
Key indicators to monitor:
Oversubscription ratios
Cornerstone investor participation
Post-listing performance
Grey market premium
If these deals price at the top end and hold above issue price, it confirms broader risk-on momentum.
If they struggle post-debut, it signals liquidity is still selective.
Deal Snapshot
| Company | Sector | Max Raise |
|---|---|---|
| Shenzhen Zhaowei | Micro-drive systems | HK$1.97B |
| Estun Automation | Industrial robotics | HK$1.65B |
| MeiG Smart Tech | IoT modules | HK$1.01B |
| Alsco Pooling | Reusable packaging | HK$285M |
Scheduled debuts: March 9–10.
Bottom Line
Hong Kong’s IPO market is clearly reopening.
Industrial tech themes are leading issuance.
Capital markets confidence is rebuilding in 2026.
For investors, this is less about subscribing to every deal — and more about recognizing where liquidity is rotating next.
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