wah-kwongs-listing-hopes-sink-as-deal-is-cancelled

Wah Kwong's listing hopes sink as deal is cancelled

The shipping company blames market conditions, but strong demand for another IPO candidate suggests sector concerns and company specific issues may have played a bigger role in keeping investors away.
June 05, 2008
Small-scale shipping firm Wah Kwong Marine Transport Holdings has cancelled its initial public offering amid a lack of investor interest, becoming the eighth company to call off a Hong Kong listing attempt mid-way this year and the first in a month. Wah Kwong was aiming to raise between HK$972.5 million and HK$1.28 billion $125 million to $164 million and had pre-arranged commitments from two cornerstone investors for about 14.4% of the deal, based on the minimum price.

This outcome was in stark contrast to that of Little Sheep which, according to sources, attracted about $2.4 billion of demand for its $100 million IPO that was priced last night, and confirms that buyers remain...
¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222