Follow-on in RDA Microelectronics raises $77.2 million

A Warburg Pincus-led follow-on in Nasdaq-listed RDA Microelectronics has raised $77.2 million after fixing the price at a 2.1% discount to the latest close. The deal was priced at the end of US trading last Wednesday.

As the second follow-on in a US-listed Chinese chipmaker in less than a month, the deal shows that investors are willing to look at deals by Chinese issuers that are already known to them and that are covered by research analysts. One source said there is no reason why share sales in listed Chinese companies that are offered at a discount shouldn’t get done, but that doesn’t mean that the US market is...