HONG KONG (Reuters) - State-owned China Huarong Asset Management Co secured commitments worth $1.62 billion from cornerstone investors as the country's largest distressed debt manager launched its initial public offering in Hong Kong on Thursday.
The 10 investors, which will not be able to sell shares in Huarong until six months after the IPO, included property developer Sino-Ocean Land Holdings (3377.HK) and utility State Grid Corp of China, with pledges to buy $684 million and $300 million worth of shares respectively, Thomson Reuters publication IFR reported, citing a term sheet of the deal.
China Huarong is offering 5.77 billion new shares in an indicative range of HK$3.03 to HK$3.39 each, the terms showed, confirming information from sources with direct knowledge of the deal.
The IPO is slated to be priced on Oct. 22.
Reporting by Fiona Lau of IFR; Writing by Elzio Barreto; Editing by Edwina Gibbs