Strong US debut for Chinese budget hotel group

Shares in China Lodging Group gain 13.6% after the company prices its $110 million offering at the top of the range.

Budget hotel operator China Lodging Group rallied as much as 26.5% in its Nasdaq trading debut on Friday before settling 13.6% higher at $13.92. Demand was robust during the bookbuild for the initial public offering, but the strong debut suggests that it was probably the right call not to price above the initial range. According to a source, there were discussions about whether to do this so that the company might raise a bit of extra cash, but in the end, the price was kept at the top of the original range, resulting in a deal size of $110.25 million.

Given the poor performance by several other IPOs in the US recently, including a...

¬ 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