China Resources Mixc said to raise US$1.58b in HK IPO; investors include GIC

[HONG KONG] Property management company China Resources Mixc Lifestyle Services has raised US$1.58 billion after pricing its Hong Kong initial public offering (IPO) at HK$22.30 per share, the top of a marketed range, according to people familiar with the matter.

The services arm of developer China Resources Land sold 550 million new shares in the IPO, the people said, asking not to be identified as the information isn't public. An external representative for the company declined to comment.

China Resources Mixc had set a price range of HK$18.60 to HK$22.30 per share for the IPO and brought in seven cornerstone investors including Singapore sovereign wealth fund GIC and Hillhouse Capital.

China's developers are spinning off their property management units at a record pace this year to raise funds as the country limits on their debt growth. Some US$6.53 billion has been fetched so far from IPOs in the sector, the highest on record, according to data compiled by Bloomberg.

Last week China Evergrande Group's services arm raised US$1.84 billion, half of which will go to the heavily indebted parent.

Shares of China Resources Mixc are expected to start trading on Dec 9. It plans to use the proceeds to make strategic investments and acquisitions to expand its property management and commercial operational businesses, pursue investments in providers of value-added services and invest in information technology systems.

CCB International Securities, China International Capital, Citigroup and Goldman Sachs Group are joint sponsors for the offering.

BLOOMBERG