Following a review by the China Securities Regulatory Commission (CSRC) last Friday, China Shipping Container Lines (CSCL) has received the approval for its A-share listing on the Shanghai bourse, as revealed by sources over the weekend.
Through its public offering of 2.34 billion new A shares, the company expects to raise at least US$1.6 billion. With the issuance of new shares, parent company China Shipping (Group) Company's stakes in the shipping conglomerate will decrease to 47.89% from 59.87%.
According to the CSCL, nearly 75% of the proceeds raised will be channeled into purchasing sixteen container ships, while the remaining funds will be invested into stakes in container leasing firms and to supplement its working capital.
UBS Securities and China International Capital Corp are the assigned underwriters for the IPO issuance.
With operations in 74 international lines and 17 domestic lines, CSCL is the largest container fleet in China. By the end of June this year, the company posted its total assets amounting to RMB 32.86 billion.
|
