ASIA-PACIFIC
AUSTRALIA
OROCOBRE PLANS EQUITY FUNDRAISINGLithium chemicals producer OROCOBRE plans
to raise A$361m (US$288m) from a A$79m
entitlement offer and A$282m from a
strategic placement.
Proceeds will be used to fund the
development of a lithium facility in
Argentina.
The company, through lead manager and
sole underwriter UBS, launched a 1-for-20
fully underwritten entitlement offer to raise
A$79m at A$6.55 each, or a discount of 8.6%
to the pre-deal spot.
The institutional portion was completed
and raised A$34m. Take-up rate for that
tranche was 97%, while the leftover shares
were sold to other investors at a price of
A$7.25 each.
The retail entitlement offer, expected to
raise A$45m, will open on January 23 and
close on February 2.
For the A$282m strategic placement,
/ROCOBREûHASûHIREDû5"3ûASûlNANCIALûADVISERû
Toyota Tsusho will subscribe to the
Orocobre-issued shares, representing 15% of
its enlarged company capital, at A$7.50
each. The price translates a 4.6% premium to
the pre-deal spot.CHINA
XIAOMI PICKS IPO SPONSORSSmartphone maker XIAOMI has picked CLSA, a
subsidiary of China’s Citic Securities,
Goldman Sachs and Morgan Stanley as joint
sponsors for its proposed IPO, according to
people familiar with the situation.The IPO, which could be the world’s
BIGGESTûTECHûmOATûINû ûISûEXPECTEDûTOûHITû
the market in the second half of the year
and likely to be in Hong Kong.
The company is expected to add more
banks later, indicating that Credit Suisse,
Deutsche Bank, JP Morgan and more
Chinese banks are likely to be on board.
Another source familiar with the
situation, however, has said the roles for
global banks have not been decided and that
no formal mandate has been given to any
Chinese bank.
A spokesman for Xiaomi declined to
comment.
The IPO, which could value Xiaomi at as
much as US$100bn, is highly anticipated in
the market.
Xiaomi earlier told bankers it would top
its annual revenue target as much as 18%. It
ISûESTIMATEDûTOûPOSTûAûNETûPROlTûOFûATûLEASTû
US$1bn in 2017, banker projections, based
on the company’s revenue estimate of
53BNnBN ûHAVEûSHOWNû0ROlTûFORû
2018 is estimated to reach about US$2bn.IQIYI FILES CONFIDENTIALLY FOR IPOIQIYI, Baidu’s video-streaming service, has
lLEDûCONlDENTIALLYûFORûAûPOTENTIALû53û)0/ûTOû
raise about US$1bn, according to people
familiar with the situation.
The listing is likely to come at the end of
THEûlRSTûQUARTERûORûEARLYûINûTHEûSECONDû
quarter.
A iQiyi spokesperson declined to
comment.
IFR reported last October that iQiyi, a
#HINESE
STYLEû.ETmIX ûHADûHIREDûBank of
America Merrill Lynch, Credit Suisse and
Goldman Sachs to arrange its proposed IPO.
Chinese search engine Baidu announced
last February that iQiyi had sold convertible
notes to a group of investors for US$1.53bn.
Baidu invested US$300m and among other
major investors were Hillhouse Capital, Boyu
Capital, IDG Capital and Sequoia Capital.ASIA-PACIFIC EQUITIES
BOOKRUNNERS: 1/1/2018 TO DATE
Managing No of Total Share
bank or group issues US$(m) (%)
1 Goldman Sachs 5 2,254.17 32.4
2 UBS 4 1,061.77 15.2
3 Citigroup 3 650.86 9.3
4 Morgan Stanley 4 617.19 8.9
5 China Merchants 2 393.27 5.6
6 Guoyuan Securities 1 235.12 3.4
7 Cowen & Co 1 200.00 2.9
=7 Leerink Partners 1 200.00 2.9
9 Guotai Junan Securities 2 164.11 2.4
10 Haitong Securities 2 142.43 2.0
Total 68 6,967.00
Including all domestic and international deals and rights issues
Source: Thomson Reuters SDC code: C4a1ASIA-PACIFIC EQUITIES (EX-JAPAN)
BOOKRUNNERS: 1/1/2018 TO DATE
Managing No of Total Share
bank or group issues US$(m) (%)
1 Goldman Sachs 5 2,254.17 32.8
2 UBS 4 1,061.77 15.4
3 Citigroup 3 650.86 9.5
4 Morgan Stanley 4 617.19 9.0
5 China Merchants 2 393.27 5.7
6 Guoyuan Securities 1 235.12 3.4
7 Cowen & Co 1 200.00 2.9
=7 Leerink Partners 1 200.00 2.9
9 Guotai Junan Securities 2 164.11 2.4
10 Haitong Securities 2 142.43 2.1
Total 66 6,881.18
Including all domestic and international deals and rights issues
Source: Thomson Reuters SDC code: C4a2WEEK IN NUMBERS
117%
GOLDMAN SACHS EQUITY
UNDERWRITING JUMPED 117% IN THE
FOURTH QUARTER, WHILE MORGAN
STANLEY’S EARNINGS WERE UP 85%.
CITIGROUP, GOLDMAN SACHS, JP MORGAN
AND MORGAN STANLEY ALL EARNED OVER
US$1bn IN ECM IN 2017, COMPARED WITH
ONLY JP MORGAN IN 2016
-US$695m
US BANKS HAVE TAKEN A HIT OF
OVER US$695m AS A RESULT OF THE
ACCOUNTING SCANDAL AT SOUTH AFRICAN
RETAILER STEINHOFF
¥2trn
SOFTBANK GROUP IS CONSIDERING
LISTING ITS JAPANESE MOBILE TELECOMS
BUSINESS IN AN IPO THAT COULD
REPORTEDLY REACH ¥2trn (US$18bn)
HK$23.5bn
COUNTRY GARDEN RAISED HK$23.5bn
(US$3bn) FROM A TOP-UP SHARE
PLACEMENT AND CONVERTIBLE BOND. BY
ISSUING A BOND WITH A 363-DAY TENOR
THE CB DID NOT NEED TO BE REGISTERED
WITH CHINA’S NATIONAL DEVELOPMENT
AND REFORM COMMISSION, WHICH HAS
BEEN SLOWING THE PACE OF APPROVALS
IN RECENT MONTHS
NIS2.4bn
NUTRIEN SOLD ITS STAKE IN ISRAEL
CHEMICALS ON TUESDAY MORNING
THROUGH UBS. THE US$693m-
EQUIVALENT SALE IS BELIEVED TO BE THE
LARGEST SOLE BOOKRUN ACCELERATED
BOOKBUILD EVER IN ISRAEL
03006009001,2001,500BAMLCitigroup GS JPM MS
Q1 Q2 Q3 Q4US$m