Zijin's $3B Gold IPO Is About to Explode -- Here's What Investors Need to Know

Zijin Mining (ZIJMY) is tapping the public markets againthis time with a gold spin-off that could raise over $3 billion. The Hong Kong listing of Zijin Gold International may arrive as early as this month, making it the second-biggest IPO globally this year, just behind CATL's $5.3 billion raise in May. Investors are circling. Interest has surged alongside gold prices, which have soared over 33% year-to-date. The spin-off gives Zijin a dedicated platform to scale its global gold portfolio, with assets stretching from Central Asia to Africa and Latin America.

The timing may work in its favor. Gold is trading just above $3,500 an ounce, with Goldman Sachs projecting it could reach $4,000 by 2026. Central banks continue to load up, and market expectations for U.S. rate cuts have added more fuel to the rally. Shares of Zijin itself hit a record high this week, and the miner is fresh off two major gold acquisitions: Akyem in Ghana (from Newmont) and a $1.2 billion buy in Kazakhstan. Management is targeting 100110 tons of annual gold production by 2028, up from 73 tons last year60% of which already comes from overseas mines.

Still, the road ahead isn't risk-free. Zijin's total debt-to-capital ratio is nearing 46%, well above industry averages, and geopolitical tensions plus resource nationalism could complicate its expansion playbook. The company flagged these concerns in its recent earnings. That said, analysts point to Zijin's pace of execution. It's known for moving fast. With IPO funds in hand, the company could prioritize scaling current projects rather than chasing new ones. Hong Kong, meanwhile, is riding a comeback wave in IPOswith total proceeds expected to more than double this year, led by deals like this.