China's largest hotelier, Jin Jian, began trading its shares last week on the Hong Kong stock exchange. The price almost doubled on the first day.
Jin Jiang raised HK$2.4bn ($311m) in its IPO which it plans to use to build new hotels and refurb its existing stock.
The company is primarily a budget operator with 160 properties open or in development under the Jin Jiang Inn brand. But it also owns six landmark hotels and has interests in or manages 44 upscale and 23 midscale units.
The IPO price was set at 29.5 times earnings but this still did not prevent the share price from rising from HK$2.20 to HK$4.20.
A participant in the share sale was Starwood Capital, picking up $30m worth at the IPO price that made it the biggest outside shareholder in Jin Jiang.
The two companies struck a strategic partnership to work together to strengthen their respective hotel businesses in China. Starwood Capital's CEO Barry Sternlicht said his company was attracted by Jin Jiang's portfolio which includes irreplaceable assets in Shanghai and other major Chinese cities.
In November, Sternlicht revealed he had plans to invest $500m in Indian property over the next three years, primarily in developing Crillon, '1' hotels and Residences and Campanile brands.