Lotte Chemical downsizes IPO after weak reaction

Malaysia’s largest petrochemical producer hoped strong markets would be a catalyst for success. Instead it missed its price target and slashed the size of the deal.

Lotte Chemical Titan wrapped up its Malaysia initial public offering two days later than scheduled on Tuesday, as price sensitivity among investors forced the petrochemical group to offer fewer shares than intended, at a cost below the bottom end of its initial target

The Southeast Asian unit of Seoul-listed Lotte Chemical raised M$3 8 billion ($877 million) on Tuesday after extending bookbuilding by a day on Monday It had set out with a target of some M$5 923 billion in pre-marketing last month, meaning its final deal was worth some 36% less

The deal was eventually priced at M$6 5 per share, some 14% lower than the bottom end of the...

¬ 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 subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at [email protected], 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 subscription (2-5 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222