China Re raises $2b from HK IPO

China’s largest reinsurer drew a strong response from investors for its jumbo deal, which should raise investor expectations for upcoming Hong Kong IPOs.

China Reinsurance, the country’s biggest reinsurer by number of written premiums, raised $2 billion from its Hong Kong initial public offering after pricing 5.77 billion shares at the top of the HK$2.25HK$2.70 indicative price range on Friday, a source close to the transaction told FinanceAsia.

The largest deal following China’s stock market plunge over the summer will raise investor expectations for upcoming IPOs in Hong Kong because the reinsurer was sounding out a price around the mid-point before subscription ended on Friday, according to investors.

China Re was able to price at HK$2.70 with the institutional tranche multiple-times oversubscribed...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222