China South Locomotive delays listing date

PUBLISHED : Tuesday, 29 July, 2008, 12:00am
UPDATED : Tuesday, 29 July, 2008, 12:00am

China South Locomotive and Rolling Stock has pushed back by a week the tentative listing date for the H-share side of its US$1.9 billion initial public offering, sources said.

China South's H shares will begin trading on August 21 instead of August 14 after regulators delayed approving the A-share side of the transaction.

It plans to raise about US$1.3 billion from the sale of as many as 3 billion shares in Shanghai and about US$600 million from the sale of as many as 1.6 billion shares in Hong Kong. It intends to sell the Hong Kong shares at 18 to 20 times this year's earnings, or at a 30 to 35 per cent discount to peers such as China Railway Group and China Railway Construction. The Shanghai shares will begin trading in the week of August 11.