Casino owner Macau Legend relaunches reduced HK IPO as markets drop
HONG KONG (Reuters) - Casino owner Macau Legend Development Ltd (1680.HK) relaunched on Wednesday its Hong Kong initial public offering, slashing the deal by more than half because of weaker than expected demand caused by volatile global markets.
The company, which owns the Macau Fisherman's Wharf development, is now seeking to raise up to $360 million by selling 934.83 million new shares, according to a supplementary prospectus filed by the company.
The primary shares are being offered in an indicative range of HK$2.30 to HK$2.98 each. The price range on the deal was unchanged from the original listing plan.
That would put the IPO at up to HK$2.79 billion ($360 million), compared with up to HK$6.1 billion the company and shareholders Lam Fong Ngo and Grand Bright had intended to raise at first. Bookbuilding for the IPO will close on Friday with pricing slated for July 2 and listing set for July 5.
The company had been meeting with investors and was set to price the IPO on June 21, but decided to postpone it and restructure the deal because of worsening global markets, sources said last Friday.
It followed Hopewell Hong Kong Properties Ltd (0288.HK) and auto parts maker Mando China Holdings Ltd (1356.HK), controlled by South Korea's Mando Corp (060980.KS), in postponing nearly $1.84 billion of listings in Hong Kong the past month.
CLSA and Citic Securities Co Ltd (6030.HK)(600030.SS), were hired as joint global coordinators, with Credit Suisse Group AG (CSGN.VX) also acting as a joint bookrunner of the IPO.
($1 = 7.7584 Hong Kong dollars)