Companies listing in HK choose fewer advisers

Companies going public in Hong Kong are getting the message that less is more.

Betting they could fetch higher valuations, Chinese companies hired sometimes dozens of banks to sell their initial public offerings in the last two years. The trend backfired, as the IPOs tended to underperform those using fewer bankers, and valuations were no higher, data compiled by Bloomberg show.

Recent IPOs suggest companies are going the other way.