Companies

Zoomlion aims up to $2.13b in HK IPO

(Agencies)
Updated: 2010-12-06 11:11

Changsha Zoomlion Heavy Industry Science and Technology Co Ltd aims to raise between $1.57 and $2.13 billion through a Hong Kong initial public offering (IPO), Reuters reported on Monday, citing a term sheet.

Changsha Zoomlion had set a price range of HK$13.98-18.98 per share for the IPO. CICC, Goldman Sachs, J.P. Morgan Chase & Co and Morgan Stanley are handling the offer.

Changsha Zoomlion is based in China's central province of Hunan and the company plans to expand its business globally and enhance its technology following the Hong Kong listing.

Related readings:  Zoomlion plan for share sale approved  Changsha Zoomlion to intensify its expansion  China's machinery sector may cool in step with economy  Zoomlion eyes HK offering

It makes and leases heavy industrial equipment, including concrete machines, hoist machines, road machines and environmental machines.

The Shenzhen-listed company plans to price the offer on Dec 17, with the listing scheduled for Dec 23. The base deal size consists of 869 million shares.

A record $48.6 billion has been raised by 71 companies through Hong Kong IPOs this year, accounting for about a fifth of the global IPOs, according to Thomson Reuters data.

At least two more $1 billion deals are scheduled to be priced this week. China Datang Corp Renewable Power, which cut the size of its IPO by a third last week due to turbulent markets, is set to price the offer on Friday, while Huaneng Renewables Corp is expected to price its IPO on Wednesday.

The offers could together raise up to $2.3 billion. The two renewable energy IPOs are among the last major floats to hit the Hong Kong stock exchange this year.