zhongwang-prices-ipo-towards-low-end

Zhongwang prices IPO towards low end

The aluminium extrusion company raises $1.26 billion and becomes the largest IPO so far this year amid good interest from global institutions. Retail investors are less enthusiastic, leaving the Hong Kong public tranche undersubscribed.

China Zhongwang Holdings has priced its initial public offering at HK$7 per share, towards the low end of the indicated range of HK$6.80 to HK$8.80, offering further evidence that this is still a buyer's market. Even at the low end though, the company was able to raise HK$9.8 billion $1.26 billion, which makes this the largest IPO globally this year, ahead of Mead Johnson Nutrition's $828 million US offering in February.

Zhongwang, a Chinese manufacturer of aluminium extrusion products, received solid support from institutional investors who welcomed the large scale of the offering, which suggests that it will be a liquid stock -- something that investors value amid the volatile...

¬ Haymarket Media Limited. All rights reserved.

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