Syngenta is said to mull Hong Kong IPO after Shanghai pulled

[HONG KONG] Syngenta Group is considering an initial public offering (IPO) in Hong Kong, according to sources familiar with the matter, more than a year after it withdrew a plan for a US$9 billion listing in Shanghai.

The Chinese-owned agricultural technology company is holding preliminary talks with financial advisers and may list in Hong Kong next year, the sources said, asking not to be identified because the information is private.

In the lead up to the Hong Kong IPO, Syngenta may work on disposing of some non-core and unprofitable assets, the sources said.

Deliberations are ongoing and may not lead to a share sale, they said.

A spokesperson for Syngenta declined to comment.

Syngenta had filed for an IPO in Shanghai in 2021 but pulled its application in March 2024, citing volatile markets. The company, which is based in Switzerland but bought by China National Chemical in 2017, said at the time it would look to restart the listing process in China or elsewhere when conditions suited.

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First-time share sales in Hong Kong are heading for a four-year high this year, with proceeds potentially topping US$40 billion, according to Bloomberg Intelligence estimates.

A big chunk of the offerings come from Chinese companies pursuing a second listing in the city to help support their overseas expansion. Those include battery maker Contemporary Amperex Technology Co Limited. and Jiangsu Hengrui Pharmaceuticals. There have also been IPOs, including Zijin Mining Group’s international gold business.

Syngenta makes crop protection products, including herbicides, insecticides and fungicides. It also develops field crops from corn to soybean, sunflower and cereals, vegetable seeds and flowers. The company operates in more than 90 countries and has more than 30,000 employees. BLOOMBERG