China Railway Construction Pricing At Top Of Range

Posted: February 27, 2008 at 10:35 am

China Railway Construction Corp. announced that it intends to price its initial public offering at the high end of its range. At a price of 9.08 yuan ($1.27), the offering is valued at roughly $3.6 Billion for a Shanghai offering of 2.8 billion shares. It also plans to offer an additional 1.706 shares to trade in Hong Kong to be priced on March 6.  Last week, we discussed the offering and mentioned that it could top the IPO of rival China Railway Group of $2.5 Billion in Hong Kong in late November 2007.

Many investors view this IPO as attractive due to the lack of competition in this market, strong earnings and the fact that the Chinese government allocated $175 Billion for railroad investment over the next five years. Trading on Shanghai is anticipated for March 10 and the Hong Kong listing is set for March 13.

Rachel Lopez
February 27, 2008

Read more: China, IPOs, , ,
    • Featured Article:

    The 15 CEOs Who Should Be Paid $1 A Year

    Lee Iacocca, Chrysler’s CEO in 1979, worked for $1 a year while his company paid back taxpayers $1.2 billion in loan guarantees. Edward Liddy, former CEO of Allstate (ALL) was paid $1 a year when he stepped in to run the crumbling AIG (AIG) as the request of Henry Paulson, who was Treasury Secretary at [...]

    Read Full Story »
    Pages: 1 2 3 4