Hony offloads CSPC stake in $1.26b sale

The Chinese private equity firm takes advantage of scorching Hong Kong capital markets to divest holding in mainland pharma firm.

Private equity firm Hony Capital has raised $1.26 billion after selling off its entire 23% stake in CSPC Pharmaceutical, exploiting the company’s near 20% 11-day rise as mainland investors continue to flood the Hong Kong markets.

CSPC Pharmaceutical’s shares have jumped 18% since March 27, in line with the Hang Seng Index, which has risen 13% in the same time period.

The accelerated share sale launched late Thursday evening in Hong Kong, with Hony Capital seeking to raise up to $1.26 billion under the joint leads of CICC, Goldman Sachs, Morgan Stanley and UBS.

Some 1.37 billion shares were on offer all...

¬ 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