JP Morgan has found enough subscribers for the initial public offer by Solomon Systech (International), avoiding the fate of rival UBS, which was forced to buy 8.4 per cent of a share issue this week. 'Both [retail and institutional] sides are comfortably covered,' a source close to the deal said. 'It's quite a relief.' Solomon, a designer of chips for liquid crystal displays in mobile phones, is selling 66.39 million shares to the public and 537.18 million to institutions. Order-taking closed yesterday and pricing will take place this morning. The issue has an indicated range of $1.60 to $2.05, and the source said Solomon was unlikely to price at the low end. Sung Hung Kai Research has recommended investors subscribe to the issue with a target price of $2.21, saying it expected the company's earnings to rise 30 per cent this year in line with the industry average. On Monday, UBS, global coordinator for China Resources Peoples Telephone, said it would spend $97.34 million in the $1.2 billion offer after failing to find enough retail and institutional buyers for the share sale. It found subscribers for just 53.4 per cent of the 14.33 million shares available in the retail portion. UBS blamed the poor response on tough market conditions, especially after Semiconductor Manufacturing International Corp and Tom Online flopped in their IPO debuts. Much of the Peoples issue will be held by just a handful of institutions: seven will buy 73.9 per cent of the shares available in the global offering.