Zheshang Bank launches US$1.75b Hong Kong IPO, taps Alipay as cornerstone
[HONG KONG] Commercial lender China Zheshang Bank Co Ltd launched on Monday an up to US$1.75 billion initial public offering in Hong Kong, the first sizeable new listing to hit the city so far in 2016, IFR reported, citing a term sheet of the transaction.
The bank, based in China's eastern Zhejiang province, is offering 3.3 billion shares in an indicative range of HK$3.92 to HK$4.12 each, putting the total deal at up to HK$13.6 billion (S$2.4 billion), the terms showed. The shares are equivalent to 19 per cent of Zheshang Bank's enlarged share capital.
The IPO secured US$963 million in commitments from cornerstone investors including Zhejiang Seaport Group and Alipay (Hong Kong) Investment, which is part of Alibaba Group Holding Ltd's Ant Financial Services Group.
The bank did not immediately respond to a Reuters email requesting comment on the IPO terms.
REUTERS
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