May 29 (NBD) -- Foxconn Industrial Internet Co Ltd (FII) (601138.SH), a subsidiary of China's leading contract manufacturer Foxconn Technology Group (Foxconn), has been listed in Shanghai stock exchange on Thursday. 

The electronic device and cloud service equipment maker expects to raise 27.1 billion yuan (4.2 billion U.S. dollars), with 13.77 yuan (2.2 U.S. dollars) per share, and the company's valuation is predicted to reach 271.2 billion yuan (4.2 billion U.S. dollars).

Affiliates of Baidu Inc, Alibaba Group Holding Ltd and Tencent Holdings Ltd, known collectively as BAT, along with other 17 companies, are strategic investors in FII's initial public offering (IPO). The deal allots 590.8 million new shares to these investors, about 30 percent of the total offering size. 

BAT's affiliates are buying 21.786 million shares, respectively, which have a lock-up period of three years. 

Other strategic investors include large industrial funds, manufacturing enterprises and insurance companies, such as Central Huijin Investment Ltd, China Railway Investment Corporation and Happy Life Insurance Co Ltd. 

Shanghai Oriental Pearl Media Co Ltd, an entertainment and media company, said in a separate statement that it is also spending 300 million yuan (46.9 million U.S. dollars) on 21.786 million shares in FII's IPO. 

Besides, about 1 million non-strategic investors have subscribed the remaining 70 percent of shares, with not more than 1000 shares for each investor. 

The new listing has become the largest IPO in the A-share market since Guotai Junan Securities's 30.058 billion yuan (4.7 billion U.S. dollars) IPO in June 2015.

According to FII's prospectus, the company will use the proceeds to fund in the areas from industrial internet platform, cloud computing and efficient computing platform, efficient data center, communication network and cloud service facilities, plans for establishing interconnection between fifth-generation wireless technologies and internet of things, research and development of intelligent manufacturing technology, intelligent manufacturing industrial upgrade to intelligent manufacturing capacity.

Foxconn is not a factory now and developing industrial internet will become its core strategy, Terry Gou, founder and chairman of Foxconn, said in a conference held in the Graduate School at Shenzhen, Tsinghua University.

Gou also revealed that Foxconn plans to build a new plant in Yizhuang, Beijing, focusing on the artificial intelligence data collection and smart equipment development.

Last year, the revenue of FII hit 354.5 billion yuan (55.4 billion U.S. dollars), presenting a year-on-year increase of 30 percent, while its net profit rose to 16.2 billion yuan (2.5 billion U.S. dollars), up 12.7 percent compared with the previous year, according to the company's prospectus.

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