China All Access (Holdings), a mainland satellite and communication appliance manufacturer, plans to raise as much as HK$500 million in a Hong Kong initial public offering next month to fund expansion.
The listing candidate, based in Hebei province, hopes to sell shares with a valuation of 18 times earnings this year and 12 times next year's earnings.
The management roadshow is scheduled to start tomorrow and will open for local investors from September 3. Formal trading is scheduled for September 15 or 16, one source said.
Guotai Junan (Hong Kong) is the sponsor and bookrunner of the deal.
Renowned hedge fund house Atlantis Investment and fund manager FMG own a 13.8 per cent stake in the firm. Their stake will be diluted to a combined 10.4 per cent after selling 25 per cent of the new shares to public investors in the global offering.
Proceeds will be used for production expansion, product development, extension of its sales network and research and development.