Delton Technology (Guangzhou) (HKG:1989, SHE:001389) launched its Hong Kong initial public offering on Thursday, seeking to raise upto HK$3.31 billion from the deal.
The China-based printed circuit board manufacturer is offering 46 million H-shares at a maximum price of HK$71.88 per share, according to a Hong Kong bourse filing.
The offering comprises 4.6 million shares for Hong Kong investors and 41.4 million shares for international investors, subject to reallocation.
The offer price is expected to be determined by March 18, with allocation results due March 19, ahead of the company's planned trading debut on the Hong Kong Stock Exchange on March 20.
Net proceeds will be used mainly to expand production capacity at the group's Thailand and Guangzhou bases, including facilities for computing application PCBs and HDI printed circuit boards.
Funds will also support research and development in advanced PCB materials and manufacturing processes, potential strategic investments or acquisitions in the PCB industry chain, and working capital and general corporate purposes.
Cornerstone investors, including UBS AM Singapore, Value Partners, and HK Greenwoods, have agreed to subscribe for about $190 million of shares, representing roughly 45% of the offer, according to the prospectus.
CLSA and HSBC are serving as sponsor-overall coordinators, overall coordinators, joint global coordinators, joint bookrunners, and joint lead managers.
GF Securities (Hong Kong) Brokerage and Huatai Financial Holdings (Hong Kong) are also acting as overall coordinators, joint global coordinators, joint bookrunners, and joint lead managers.
Guolian Securities International Capital is serving as a joint global coordinator, joint bookrunner, and joint lead manager.
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