China's Nongfu Spring to raise $1.1 bln in Hong Kong IPO

Chinese drinks maker Nongfu Spring will raise up to $1.08 billion by pricing its shares between HK$19.50 to HK$21.50 ($2.52 to $2.77) in its Hong Kong initial public offering, according to its prospectus.

By Scott Murdoch

HONG KONG, Aug 25 (Reuters) - Chinese drinks maker Nongfu Spring 9633.HK will raise up to $1.08 billion by pricing its shares between HK$19.50 to HK$21.50 ($2.52 to $2.77) in its Hong Kong initial public offering, according to its prospectus.

The deal opens on Tuesday and is due to be finalised on Friday. The company will sell 388.2 million shares.

Nongfu Spring is due to start trading on the Hong Kong Stock Exchange on Sept. 8, the listing documents state.

The prospectus shows five cornerstone investors, led by fund manager Fidelity, hedge fund Coatue and Singapore sovereign wealth fund GIC GIC.UL, have subscribed for stock in the deal.

At up to $1.08 billion, it will be one of the largest IPOs in Hong Kong in 2020, with the biggest so far being Bohai Bank's 9668.HK $1.78 billion IPO in July.

($1 = 7.7501 Hong Kong dollars)

(Reporting by Scott Murdoch; Editing by Muralikumar Anantharaman)

((Scott.Murdoch@thomsonreuters.com;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More