China South Locomotive raises $1.5 bln in IPO

(For an expanded IPO diaries, click <HK/IPOMENU> and <CN/IPOMENU>) HONG KONG, Aug 14 (Reuters) - China's largest train maker, China South Locomotive & Rolling Stock Corp Ltd, priced the Hong Kong portion of its initial public offering at the middle of an indicated range, raising US$1.5 billion in a dual Hong Kong and Shanghai listing, a source close to the deal said on Thursday.

The state-run company is set to make its trading debut on August 18 in Shanghai and August 21 in Hong Kong.

China South Locomotive sold 1.6 billion shares for the Hong Kong portion of its IPO at HK$2.60 apiece, in the middle of an indicated range of HK$2.49 to HK$2.76, the source said, to raise $533 million.

The company had already sold 3 billion mainland Chinese shares at 2.18 yuan apiece, the top of an indicated range, to raise 6.54 billion yuan ($956 million).

The Hong Kong listing is being handled by Macquarie Bank (MQG.AX) and China International Capital Corp (CICC), which is also underwriting the Shanghai portion of the IPO with Industrial Securities.

(US$1=HK$7.8=6.84 yuan)

(Reporting by Kennix Chim, editing by Dominic Whiting)