– This is the script of CNBC's news report for China's CCTV on October 28, Friday.
Welcome to CNBC Business Daily, I'm Qian Chen.
Chinese package delivery company ZTO Express debuted on the stock market Thursday morning, opening at $18.40 a share before falling more than 15 percent.
The stock ended the day at $16.57.
The stock market debut, the biggest by a Chinese company since the $25 billion IPO of e-commerce giant Alibaba in 2014, gave the Shanghai-based company a market value of more than $12 billion.
ZTO priced 72.1 million shares at $19.50 a share, above its previously indicated range of $16.50 to $18.50 a share.
The debut comes as the U.S. IPO market was picking up after stock-market volatility brought it to a standstill for the first few months of the year.
Through Thursday afternoon, U.S.-listed IPOs have raised $20.6 billion, which means 2016 is on track to be the slowest in six years, Dealogic data shows.
Before ZTO's offering, only three companies raised $1 billion or more so far this year in IPOs, according to Dealogic. At this point in 2014 there were 12.
[MICHAEL UNDERHILL, RidgeWorth Investments Portfolio Manager] "When you look at IPOs in the way they price, indicating of the sentiment of the market. Quite frankly what you have with the US listing right now is fear, uncertainty and doubt. When you look at that fear, uncertainty and doubt, you got it around US eletions, you got it in the yield curve, you saw treasury got hit today, as well as bond, as well as stocks, risk-parity models blew out, results in a lot of selling pressure on the market."
Despite the disappoting debute, the company is still excited about the big offering and the focus is on the long term, a ZTO spokesman said.
The interest, analysts tell CNBC, comes from the access to the both the Chinese consumer and the Chinese e-commerce industry.
Something to note, however, is that 75 percent of ZTO's volume comes from Alibaba.
[MICHAEL UNDERHILL, RidgeWorth Investments Portfolio Manager] "you take a look at what happens in the most important months for e-commerce in China, November 11 e-commerce festival, and look at pre-new year buys,ZTO could possibly handle a significant amount of packages inlast four months of the year."
The company said it plans to use $720 million of its IPO proceeds to buy more trucks, land, facilities and equipment.
CNBC Qian Chen, reporting from Singapore.