HK regulator approves China South Locomotive IPO

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HONG KONG, July 14 (Reuters) - China South Locomotive & Rolling Stock Corp Ltd, the country's biggest train maker, has won approval from the Hong Kong Stock Exchange for an IPO, which, combined with one in Shanghai, is expected to raise $2 billion, a source close to the deal said on Monday.

Beijing-based South Locomotive, which also makes railway equipment, plans to sell up to 2 billion shares in a Hong Kong initial public offering and launch its Hong Kong IPO pre-marketing this week, the source said. It targets a listing in early August.

The company has not yet started investor education for its planned A share listing in Shanghai.

(US$1=HK$7.8=6.86 yuan) (Reporting by Kennix Chim; editing by Anne Marie Roantree)