Chemicals company plans to raise $981m
The company, a chemical project contractor, will sell as many as 1.233 billion shares, or a 25 per cent stake, at 4.90 yuan to 5.43 yuan apiece
Shanghai: China National Chemical Engineering plans to raise as much as 6.7 billion yuan ($981 million) in an initial public offering in Shanghai to fund new projects and add more equipment.
The company, a chemical project contractor, will sell as many as 1.233 billion shares, or a 25 per cent stake, at 4.90 yuan to 5.43 yuan apiece, the company said in a statement to the Shanghai Stock Exchange.
The share sale will add additional stock to Asia's biggest IPO market this year. Companies have sold at least 187 billion yuan worth of shares in China this year, according to data compiled by Bloomberg, as a government stimulus plan boosts the economy.
The price range values the company at 40.83 times to 45.25 times 2008 earnings per share.
The Beijing-based company will use the proceeds to win contracts and purchase equipment to expand.
