Investment Board, Goldman Sachs, PGGM,
Ping An and SK Holdings.
In May, Chinese online retailer JD.com
invested US$306m in ESR. In June, ESR said
it had closed a pre-IPO investment from Citic
Securities One-Belt-One-Road fund, a private
equity investment fund of CLSA, without
disclosing the investment amount.
According to ESR’s website, the company
manages more than 9m square metres of
gross floor area in projects owned and under
development across China, Japan,
Singapore, South Korea and India.HANSOH PHARMA PLANS US$1.5bn IPODrugs maker HANSOH PHARMACEUTICAL has filed
for a Hong Kong IPO that could raise
US$1bn–$1.5bn, according to people close to
the deal.
The float is expected by the end of the
year.
Citigroup and Morgan Stanley are the joint
sponsors.
Hansoh first planned to list in 2016 in a
float of up to US$1.5bn led by Morgan
Stanley and UBS but ultimately did not
come to market.
Hansoh has 13 main products focusing on
the central nervous system, oncology, anti-
infectives and diabetes.
The company posted a net profit of
Rmb1.04bn (US$152m) for the six months
ended June 30 2018, up 34% year-on-year,
according to a regulatory filing. Its 2017 net
profit was Rmb1.6bn.
Hansoh founder Zhong Huijuan and her
daughter Sun Yuan own a 78% stake in the
company. Zhong is the wife of Sun
Piaoyang, who owns a 24% stake in
Shanghai-listed Jiangsu Hengrui Medicine,
the largest pharmaceutical company in
Lianyungang.HAIDILAO PRE-MARKETS UP TO
US$1bn IPOHAIDILAO INTERNATIONAL, one of China’s most
popular hotpot restaurant chains, started
pre-marketing a Hong Kong IPO of up to
US$1bn last Monday.
The free-float will be 8.01% on the base
deal, rising to 9.10% if the greenshoe is
exercised in full.
Of the shares on offer, 91% will be sold to
international investors and 9% to retail
investors.
The company plans to start bookbuilding
for the deal on September 10 and to price it
on September 17.
The restaurant operator plans to use about
60% of the proceeds to finance its expansion
and about 20% to develop new technology,
while the remainder will be used to repay
loans and replenish working capital.CMB International and Goldman Sachs are
joint sponsors of the proposed IPO.
Founded in 1994, Haidilao owns and
operates 320 restaurants, of which 296 are
in the PRC and 24 are in Taiwan, Hong
Kong, Singapore, South Korea, Japan and
the US.
The company posted a 2017 profit of
Rmb1.19bn (US$187m), up 22% year-on-
year. Its revenue rose 36% to Rmb10.64bn.FOSUN TOURISM FILES FOR IPOFOSUN TOURISM, a unit of Fosun
International, has filed for a Hong Kong
IPO to raise US$500m–$700m, according to
people close to the deal.
CLSA, Citigroup and JP Morgan are the
joint sponsors of the deal.
Fosun Tourism operates resorts
through Club Med and Club Med Joyview.
It also develops and operates tourism
destination Atlantis Sanya and has
formed a joint venture with tour operator
Thomas Cook.
According to the filing, Fosun Tourism
posted a loss of Rmb135m (US$20m) for
the first half of 2018, compared with a loss
of Rmb189m in the same period of 2017.
Taking into account the cost of
acquiring Club Med, the pre-operating
expenses of Atlantis Sanya, the interest
owed to related companies prior to the
reorganisation and equity-settled share-
based payments, the company posted an
adjusted net profit of Rmb134m for the
first half of 2018.
Fosun, co-founded by Chinese billionaire
Guo Guangchang, is one of China’s most
acquisitive overseas dealmakers.ENTERTAINMENT PLUS FILES FOR IPOTencent-backed ENTERTAINMENT PLUS, China’s
biggest online seller of film tickets, has
filed for a Hong Kong IPO to raise about
US$800m–$1bn, according to people close
to the deal.
Bank of America Merrill Lynch and Morgan
Stanley are joint sponsors for the deal.
Entertainment Plus operates the popular
movie-ticketing apps Maoyan and Gewara,
and also distributes films.
According to the filing, the company
posted a loss of Rmb231m (US$34m) for
the first half of 2018, compared with a loss
of Rmb118m a year earlier.
Monthly active users averaged 133.5
million in the first half of 2018, according
to the filing.
Chairman Wang Changtian owns a
48.8% stake. Chinese internet giant
Tencent has a 16.27% stake while online
food delivery-to-ticketing services provider
Meituan Dianping has an 8.56% stake.QUTOUTIAO LAUNCHES NASDAQ IPONews aggregator QUTOUTIAO has started
bookbuilding for a Nasdaq IPO of up to
US$144m.
The company, which counts internet
giant Tencent Holdings as a shareholder,
is selling 16m American depositary
shares in an indicative price range
of US$7–$9 each. The price range
represents a pre-greenshoe 2019 price-to-
sales ratio of 1.84–2.37 and a 2020 P/E of
14.7–18.9.
The IPO size is around half of the
US$300m target filed earlier by the
company with the SEC.
Books will close on September 13 and
pricing is slated for the same day.
Qutoutiao, which means “fun
headlines” in Chinese, allows users to
create customised feeds of articles and
short videos from third-party sources. Co-
founders Eric Siliang Tan and Lei Li
respectively own 39% and 10.2% of the
company. Tencent has a 7.8% stake.
Citigroup and Deutsche Bank are leading
the transaction with China Merchants
Securities and UBS.ZAI LAB BUILDS WAR CHESTNasdaq-listed Chinese biotech company ZAI
LAB has raised US$150m from a primary
follow-on offering.
The Shanghai-based company sold 7.5m
American depositary shares at US$20 each.
The price represents a discount of 1.1%
to Zai Lab’s close of US$20.22 last
Wednesday. The stock has fallen 11% since
the company announced the follow-on
offering on August 31.
The books were multiple times covered
with about 100 investors participating. The
top five investors took more than 50% of
the deal and the top 10 more than 70%.
There is a 15% greenshoe for the deal.
Citigroup, JP Morgan, Jefferies and Leerink
are the joint bookrunners.
Zai Lab plans to use the funds raised for
advanced clinical trials, working capital
and general corporate purposes.
The company, which develops drugs for
cancer, autoimmune and infectious
diseases, was co-founded in 2014 by
Samantha Du, a former Pfizer research
scientist.MIDEA REAL ESTATE PRE-MARKETS IPOMIDEA REAL ESTATE started pre-marketing last
Thursday for a Hong Kong IPO of up to
US$500m.
The company is the property arm of
Shenzhen-listed appliance maker Midea
Group.International Financing Review September 8 2018 83EQUITIES ASIA-PACIFIC
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