Chinese developer Vanke's unit looking to raise $733m in Hong Kong IPO

REUTERS/Bobby Yip

Developer China Vanke Co Ltd’s property services arm Onewo Inc is set to raise HK$5.75 billion ($733 million) after pricing its shares at HK$49.35 each in its Hong Kong IPO, according to two sources with direct knowledge of the matter.

The sources could not be named as the information was not yet made public. Onewo declined to comment.

Onewo, which is a unit of China’s second largest developer by sales, sold 116.74 million shares in the deal. The shares represent 10% of Onewo’s share capital

At HK$49.35, the price is at the middle of the HK$47.1 to HK$52.7 apiece range set when the deal was launched on Monday.

Vanke, which has weathered China’s property sector crisis in better shape than most if its rivals, owns 62.9% of Onewo and is its biggest customer, regulatory filings showed.

Onewo is one of the largest Hong Kong IPO’s in 2022 so far, with the value of deals in the Asian financial hub down nearly 90% due to a year of Sino-U.S. tension and a tightening regulatory environment in China.

The largest, Chinese electric vehicle maker Leapmotor Technology, is due to price shares on Friday as it attempts to raise $1 billion.

Reuters

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