Kowloon Motor Bus offshoot drives successful IPO

Roadshow Holdings, KMB''s multimedia arm, is expected to make a strong debut on the Hong Kong Stock Exchange this Thursday after rising 68% in the grey market since Saturday''s pricing.

Within a day of grey market trading, brokers were reporting trades at HK$3.80 for the 240 million share deal, which priced on Saturday at HK$2.25 per share.

With CLSA as lead manager, the deal came at the very top of its HK$1.69 to HK$2.25 indicative range and on a pe ratio of 12 times 2001 earnings and 15% discount to DCF. Because of massive oversubscription on the retail tranche, full clawbacks were instituted taking the retail IPO up from 10% to 50% of the offering and the institutional placement down to 47%, after a preferential share offer to KMB shareholders was accounted for.

Observers ...

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