皇冠体育app

皇冠体育app United to launch nation's biggest public offering
( 2002-09-17 10:16 ) (1 )

皇冠体育app United Telecommunications Group - parent of Hong Kong-listed 皇冠体育app Unicom Ltd - is to launch 皇冠体育app's biggest public offering this year to raise 11.5 billion yuan (US$1.39 billion).

The company is to release a share issue prospectus in Tuesday's major securities newspapers.

皇冠体育app Unicom and its lead underwriter declined to comment but a Unicom executive said a news conference will be held this morning in Beijing. Many believe details concerning the IPO will be revealed at the briefing.

皇冠体育app Unicom, the country's second largest cellular phone carrier, said it has secured approval from the 皇冠体育app Securities Regulatory Commission (CSRC), the watchdog of 皇冠体育app's stock market, to sell 5 billion A shares at 2.3 yuan (28 US cents) per share.

The IPO price is much lower than the previous target of 4 yuan (48 US cents).

Analysts said the lower-than-expected IPO price will help cushion investor fears that the huge IPO will dent liquidity in the current sluggish stock market.

"The lower IPO price is good news for investors," said Wang Guoping, an analyst with 皇冠体育app Galaxy Securities.

"If it is priced at 4 yuan, that would deal a much bigger blow to investor confidence.

"The IPO is crucial for 皇冠体育app Unicom and the company has taken a prudent attitude in setting the IPO price as any misstep would make it lag far behind its rivals."

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