China Cosco scrapes home

IPO of China''s largest shipping company prices at bottom of range.

The Hong Kong listing of China Cosco Holdings CCH was priced at the very bottom of its indicative price range on Saturday June 26 after struggling to attract demand. Under the lead management of HSBC, JPMorgan and UBS, a 2.244 billion share deal was priced at HK$4.25, the bottom of a HK$4.25 to HK$5.75 range.

The institutional order book is said to have closed just covered, while the retail order book was only 50% subscribed. This led the leads to seek a waiver from the Hong Kong Stock Exchange to reduce the size of the retail offering from 10% to 5%.

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