HSBC, Hang Seng put share-offer deals online

Hongkong and Shanghai Banking Corp (HSBC) and Hang Seng Bank will roll out Internet-based electronic IPO application services on September 25 - the day the Mass Transit Railway Corp (MTRC) launches its public offering.

The services follow on this week's launch of an online initial public offering (IPO) application service on the Hong Kong Clearing Web site.

The HSBC and Hang Seng services will enable customers and others to apply for new MTRC shares from home computers - completing on-screen application forms and submitting their applications electronically. It will avoid the sort of chaotic queues at the launch of the Tom.com public issue earlier this year.

Both banks will accept all IPO applications for offerings on both boards, irrespective of whether they are designated as a receiving bank for the issues. The online facility also includes a range of investment services and historical information on previous issues. Investors will be able to read the issue prospectus online, said Richard Kimber, HSBC head of personal e-business, Asia-Pacific.

He said there was also a forward-dated payment feature, offering instant verification of a successful application and accepting payment on any subsequent date before the subscription closes.

'This will save investors lost interest,' Mr Kimber said.

HSBC and Hang Seng Bank customers can complete the application by debiting their accounts, while non-bank customers can pay via the payment by phone service.