Yanzhou Coal Mining Co - the mainland's first coal mining firm to seek an overseas listing - has lowered the issue price of H-share offering next week after the flotation was postponed last year due to poor market conditions.
The flotation is this year's maiden H-share offering and will be closely monitored by other candidates such as Wuhan Iron and Steel, which was also forced to shelve its share sale because of the sluggish market.
The Shandong-based firm will raise up to $2.21 billion through a dual listing in Hong Kong and the United States.
New World Development and China Everbright Holdings, which originally agreed to take a strategic stake in Yanzhou Coal, will not purchase any shares.
Officials representing Yanzhou Coal will meet analysts and fund managers in Hong Kong on Monday to kick off the offering.
The firm will issue 820 million shares priced between $2.18 and $2.70, or between 6.25 and 7.75 times this year's prospective earnings, a banker close to the deal said.
This is lower than the previous range of between $2.73 and $3.49, or 8.1 and 10.35 times last year's estimated earnings.
