HONG KONG, March 6 Sunshine 100 China Holdings
Ltd, a commercial and residential real estate
developer in second and third-tier Chinese cities, raised about
$258 million after pricing its Hong Kong initial public offering
at the bottom of expectations, IFR reported on Thursday.
The company, which is backed by U.S. private equity firm
Warburg Pincus, priced the IPO at HK$4.00 per share,
compared with a marketing range of HK$4.00 to HK$4.80 each,
added IFR, a Thomson Reuters publication.
Sunshine 100 offered 500 million shares, putting the total
deal value at HK$2 billion ($258 million).
The company plans to use 60 percent of the IPO funds to buy
new projects and land for development in mainland China, with 30
percent set aside to finance the development of 14 existing
projects in the country.
BNP Paribas, China International Capital Corp
(CICC) and Citigroup acted as joint global coordinators
for the IPO, with six other banks also helping to manage the
The banks stand to earn $6.45 million, equivalent to a 2.5
underwriting fee, according to Sunshine 100's IPO prospectus.
CICC and Citigroup may also earn an additional $1.8 million
incentive fee, or 0.7 percent of proceeds, from their roles as
joint sponsors of the IPO, while CICC alone will earn another
$774,000, or 0.3 percent of proceeds.
($1 = 7.7608 Hong Kong dollars)
(Reporting by Fiona Lau of IFR; Writing by Elzio Barreto;
Editing by Matt Driskill)