Singapore-listed Chinese property developer Pan Hong said yesterday the initial public offering (IPO) of its Jiangxi-based unit, Sino Harbour, in Hong Kong would raise HK$330 million (S$51.4 million), after the 300 million shares were priced at HK$1.10 each, the bottom end of the indicative range.
Sino Harbour plans to fortify its position in various cities in China’s Jiangxi province and expand the group’s businesses by enhancing market awareness of its properties, expanding its land reserves, diversifying into commercial properties and increasing the number of investment properties to secure long-term rental income.
Jones Lang Lasalle Sallmanns, an independent property valuer, has valued the group’s property interests at about 3.66 billion yuan (s$688.2 million) as at April 30.
Most of the IPO proceeds will be used to pay for the construction costs of Phase 2 of its Yichun project, Phase 1 of its Nanchang Dingxun project and Phase 2 of its Fuzhou Huacui Tingyuan development, with the balance used for general working capital, the group said.
Trading on the Hong Kong Exchange is expected to start today.
Source : Today – 22 Jul 2011