Shanghai Forte Land tapped the market for $694.8 million yesterday, riding on a sharp rally in the stock market.
According to market sources, Shanghai's largest property developer had offered 175.9 million new shares to investors at $3.80 to $3.98 each. It priced the deal near the top of the range at $3.95, which represents a discount of 4.24 per cent to yesterday's closing price of $4.125.
Morgan Stanley is the share sale arranger.
Forte's share price rose 1.85 per cent yesterday, having shot up 79.34 per cent since October last year.
Sources said the funds raised would be used for property development projects.
After the surge in the blue-chip index yesterday, brokers believe more companies will be drawn to tap the market for funds in the near future.