It plans to list in Hong Kong in the fourth
quarter, said people close to the deal.
China Merchants Securities, CCB International
and JP Morgan are the sponsors.
The company filed for a Hong Kong listing
in 2017 but the deal did not materialise.
Feihe delisted from the New York Stock
Exchange in 2013, after chairman Leng
Youbin, management and Morgan Stanley
Private Equity Asia took the company
private for about US$147m.
› PSBC EYES SHANGHAI IPO
Hong Kong-listed POSTAL SAVINGS BANK OF
CHINA plans to offer 5.17bn A-shares in its
Shanghai IPO, or 6% of the enlarged capital,
according to a disclosure by the China
Securities Regulatory Commission.
It is offering less than the 5.95bn A-shares
approved by the China Banking and
Insurance Regulatory Commission in June.
Based on its close of HK$4.66 on June 28,
equivalent to Rmb4.10, the lender could
raise Rmb21.2bn from the listing.
It will use the proceeds to replenish capital.
PSBC, the country’s biggest bank by
number of branches, raised HK$59.1bn
(US$7.6bn) from a Hong Kong IPO in 2016.
It announced its Shanghai listing plan in
2017 and has been seeking shareholder and
regulatory approval since then.
CICC and China Post Securities are joint
sponsors and joint bookrunners with UBS
Securities and Citic Securities. UBS Securities is
also the sole financial adviser on the IPO.
› SIX LAUNCH TECH BOARD IPOS
Six companies conducted price
consultations last Friday for Shanghai tech
board IPOs after their registrations were
accepted by the China Securities Regulatory
Commission at the start of the week.
They are ESPRESSIF SYSTEMS SHANGHAI
(Rmb1.01bn or US$146m), ADVANCED
MICRO-FABRICATION EQUIPMENT (Rmb1bn),
HARBIN XINGUANG OPTIC-ELECTRONICS TECHNOLOGY
(Rmb876m), XIAN BRIGHT LASER TECHNOLOGIES
(Rmb700m), FUJIAN FORECAM OPTICS (Rmb651m)
and ANJI MICROELECTRONICS TECHNOLOGY SHANGHAI
(Rmb303m).
The companies will give pricing details
on July 8 and open the books on July 10.
The six companies will wrap up their
IPOs on July 12, when the other three tech
board candidates - CHINA RAILWAY SIGNAL AND
COMMUNICATION (Rmb10.5bn), NINGBO RONBAYMAT
NEW ENERGY TECHNOLOGY (Rmb1.6bn) and
APPOTRONICS CORPORATION (Rmb1bn) - will also
complete their IPOs.
In addition, eight companies are set to
conduct price consultations on Monday
and Tuesday for Shanghai tech board IPOs
totalling Rmb6.06bn.
They are ARCSOFT CORPORATION (Rmb1.13bn),
MICRO-TECH (NANJING) (Rmb894m), WESTERN
SUPERCONDUCTING TECHNOLOGIES (Rmb800m),
SHANGHAI MICROPORT ENDOVASCULAR MEDTECH
(Rmb651m), GUANGZHOU FANGBANG ELECTRONICS
(Rmb1.06bn), BEIJING TIANYISHANGJIA NEW
MATERIAL (Rmb646m), SUZHOU HARMONTRONICS
AUTOMATION TECHNOLOGY (Rmb468m), and
BEIJING WORLDIA DIAMOND TOOLS (Rmb407m),
The first four companies will announce
pricing on July 9 and open the books on
July 11 and the latter four will price on July
10 and open books on July 12.
Meanwhile TRAFFIC CONTROL TECHNOLOGY
(Rmb550m), BEIJING PIESAT INFORMATION
TECHNOLOGY (Rmb567m) and GUANGDONG JIA
YUAN TECHNOLOGY SHARES (Rmb969m) have
completed the registration process for their
tech board IPOs.
As of July 5, 25 tech board listing
candidates had completed IPO registrations
with the CSRC. An additional six companies
are still awaiting the completion of the
registration process after passing listing
hearings. These 31 companies are expected
to start trading together.
The tech board’s listing committee has
also scheduled two IPO hearings, one on
July 11 for EVERSEC TECHNOLOGY (Rmb800m)
and BEIJING ABT NETWORKS (Rmb298m) and
another on July 15 for SHANGHAI HAOHAI
BIOLOGICAL TECHNOLOGY (Rmb1.48bn) and
CNANO TECHNOLOGY (Rmb870m). Last month,
the tech board held 13 hearings for 31
candidates from June 5-28.› SUZHOU HYC TECH MISSES BILLION MARKSUZHOU HYC TECHNOLOGY, the first company to
price a Shanghai tech board IPO, has raised
Rmb973m from the deal, slightly less than
its original Rmb1.01bn target.
HYC sold 40.1m A-shares or 10% of
its enlarged capital at Rmb24.26 apiece.
Sponsor Huatai United Securities will buy 4.1%
of the offer through the strategic tranche.
The remaining shares are split 70-30
between institutional and retail investors.
Public funds, social security funds,
pension funds, enterprise annuity funds and
insurance funds have been classified as Class
A institutional investors and allocated 21.9m
A-shares or 81% of the institutional tranche.
Class B institutional investors, composed
of qualified foreign institutional investors
(QFII), and Class C institutional investors,
composed of other funds such as private
equity funds, were allotted 105,245 and
5m A-shares, or 0.4% and 18.6% of the
institutional tranche, respectively.
For retail investors, the online tranche
was 2,514 times subscribed when the offer
closed on June 27.
Following a lottery, 22,929 winning
numbers were allocated 500 shares each.Each investor could have 1-15 numbers.
The Shanghai Stock Exchange said late
on Friday that trading will begin on the
new board on July 22, without naming the
first companies to list.› RISEN ENERGY DOWNSIZES CB TARGETChiNext-listed RISEN ENERGY has cut the size
of a proposed six-year convertible bond to
Rmb2.71bn from Rmb2.9bn.
The plan still needs approval from
Chinese regulators.
The solar energy equipment maker will
use the proceeds to expand production
of batteries and components, build a
photovoltaic power station in Australia, and
replenish working capital.
Essence Securities is the sponsor.HONG KONG
DEBT CAPITAL MARKETS
› CHONG HING BANK PLANS AT1 ISSUECHONG HING BANK, rated Baa1/BBB (Moody’s/
Fitch), is planning an offering of US dollar-
denominated Basel III-compliant perpetual,
non-cumulative, subordinated Additional
Tier 1 capital securities off a newly set-up
US$2bn medium-term note and perpetual
capital securities programme.
BOC International, CCB International, Chong
Hing Bank, HSBC and Yue Xiu Securities are
joint global coordinators as well as joint
lead managers and joint bookrunners with
ABC International on the Reg S issue.
The Hong Kong lender, 75% owned by
Guangzhou Yue Xiu Holdings, met investorsTop bookrunners of Hong Kong dollar bonds,
inc certificates of deposit, commercial paper
1/1/19 – 30/6/19
Amount
Name Issues HK$(m) %
1 BoCom 15 27,018.3 29.5
2 HSBC 69 26,681.0 29.1
3 Standard Chartered 29 12,309.8 13.5
4 Mizuho 4 3,061.1 3.3
5 Credit Agricole 8 2,860.0 3.1
6 CBA 7 2,545.8 2.8
7 BNP Paribas 13 2,360.0 2.6
8 Bank of China 4 2,174.9 2.4
9 OCBC 2 1,305.0 1.4
10 Citigroup 2 1,257.1 1.4
Total 153 91,550.5
*Market volume
Proportional credit
Source: Refinitiv data SDC Code: AS5a