Citic Group plans backdoor listing in HK via Citic Pacific-IFR

HONG KONG, March 26 Wed Mar 26, 2014 6:32am EDT

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HONG KONG, March 26 (Reuters) - Chinese state-owned conglomerate Citic Group Corp plans to list in Hong Kong through a backdoor deal with its Citic Pacific unit, IFR reported on Wednesday, citing a source familiar with the plans.

Citic Pacific plans to issue new shares to fund its purchase of around $40 billion of assets from its parent in a reverse merger, said IFR, a Thomson Reuters publication.

Shares of Citic Pacific have been suspended since Monday at the request of the company pending an announcement, the company said in a regulatory filing at the time.

Citic Securities International, the group's Hong Kong-based brokerage and investment banking unit, will act as financial adviser on the deal, IFR said.

Citic Pacific could not be immediately reached for comment. (Reporting by Fiona Lau of IFR; Writing by Elzio Barreto; Editing by Ryan Woo)

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