TOKYO (Reuters) -Tokyo Metro’s shares shot up 45% of their market debut on Wednesday, after Japan’s largest preliminary public providing in six years raised $2.3 billion. 

Tokyo Metro, one of many capital’s two main subway operators, was buying and selling at 1,730 yen ($11.41) within the morning after opening untraded with a glut of purchase orders.

The corporate raised 348.6 billion yen after pricing its IPO on the high of an indicative vary at 1,200 yen apiece. The IPO was greater than 15 occasions oversubscribed, with traders drawn to a family identify with a gorgeous dividend yield.

“The itemizing of a big firm acquainted to particular person traders has a big benefit in broadening the investor base,” Toshio Morita, CEO of the Japan Securities Sellers Affiliation and former president of Nomura Securities, mentioned earlier than the debut.

Tokyo Metro forecasts a dividend of 40 yen per share for the monetary 12 months ending March 2025 and has appealed to traders with perks reminiscent of toppings on the noodle eateries it operates.

The corporate’s historical past dates again to 1920 with the institution of the Tokyo Underground Railway Firm. Seven years later, it opened Japan’s first subway line, between the Asakusa and Ueno districts of Tokyo.

It runs 195 kilometres (120 miles) of strains carrying 6.5 million passengers each day.

Its IPO is the most important in Japan since SoftBank (TYO:) Group listed its telecoms unit in late 2018.

Rigaku Holdings, a maker of X-ray testing instruments, raised $863 million in its IPO after pricing shares on the high quality and can debut on Friday. 

There have been $4.9 billion value of IPOs 12 months to this point in Japan, LSEG knowledge reveals, the most important quantity in six years.

The benchmark index was flat. It has gained 15% year-to-date.

($1 = 151.6400 yen)