UPDATE 1-Property firm Fantasia plans $414 mln HK IPO

(Adds details)

HONG KONG, Nov 9 (Reuters) - Property developer Fantasia is set to raise up to $414 million in an initial public offering of shares in Hong Kong, according to a term sheet seen by Reuters on Monday.

The developer plans to sell 1.458 billion shares, including 243 million existing shares, at an indicated price range of HK$1.75-2.20 per share, the term sheet said.

Fantasia's offering price represents a multiple of about 5.25 times to 6.6 times 2010 earnings forecasted by joint sponsors.

By comparison, its peer SOHO China (0410.HK) trades at 6.6 times 2010 forecast earnings.

The company has pledged six cornerstone investors,including China Poly Group, for a combined $63 million worth of shares.

The firm plans to use more than half of the proceeds to acquire additional land reserves, including the property rights that the firm intends to acquire for Shenzhen Meinian Plaza for about 300 million yuan.

Fantasia plans to start its Hong Kong public offering on Nov 12 and will set its final pricing on Nov 18, with trading scheduled to start on Nov 25.

Deutsche Bank (DBKGn.DE), BOC International, Goldman Sachs (GS.N), ICBC International and CITIC Securities are handling the deal.

(US$1=HK$7.75)

(Reporting by Kennix Chim; Editing by Ken Wills)

((donny.kwok@thomsonreuters.com; +852 2843 6470; Reuters Messaging: donny.kwok.reuters.com@reuters.net))

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