By P.R. Venkat
Shenzhen-listed Asimchem Laboratories Tian Jin Company plans to raise 7.55 billion Hong Kong dollars ($968 million) through a share offering in Hong Kong, joining a list of Chinese companies looking to complete deals in a volatile market has been
The company will start taking orders from Tuesday and plans to issue 18.42 million H-shares of between HK$350-HK$410 each.
Asimchem, which provides drug development and manufacturing services to the pharmaceutical industry, plans to finalize the IPO price on December 3 and list its shares on the Hong Kong exchange from December 10.
Several Chinese companies are rushing to close deals in the equity market as investor sentiment has been shaken by the emergence of the Omicron COVID-19 variant. Several countries have renewed travel restrictions to contain the spread of the new variant, which could weigh on the global recovery from the pandemic.
The company said that Esimchem said it would use the proceeds of the IPO for business expansion, R&D and meeting working capital requirements.
Asymchem has a market capitalization of 127.5 billion yuan (US$19.96 billion).
In separate filings on Tuesday, another five companies are trying to hit the Hong Kong IPO market with a total of $4.8 billion. Companies operate in industries ranging from real estate to third-party on-demand delivery services.
Write to PR Venkat at [email protected]