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SCMP Reporter

SWEDISH motor firm Ankor Group is to raise about $270 million this month when it becomes the third car company to list on the Hong Kong stock exchange.

  The firm was created this year through the merger of Swedish Motors, EuroMotors and EuroTruck. It has a combined projected turnover for this year of $1.2 billion.

  At present it is privately held by group chairman Christer Agell, who set up Swedish Motors with his wife and his partner, Bob Miller, in 1981.

  Following the listing, Mr Agell will retain a controlling 51 per cent share, Mr Miller will hold 24 per cent, and the remaining 25 per cent will be in public hands.

  Brokers expect the listing to raise about $270 million.

  Mr Agell said: ''It is nice that the stock market is so extremely active just now. Friday's close on the futures index indicates prices will go up again today: there is a lot of money and a lot of attention here right now.

  ''But being a fairly small issue, we will not attract so much attention as the big blue chips, which is what a large amount of the money coming in from outside is chasing, and we will be a bit in the shadow of these.''   Money raised from the issue will be channelled into paying off bank debt, and into a big service centre in Fanling.

  Investment in the service centre, plus equipment, is about $108 million.

  Sponsors of the issue are Baring Brothers, which is also manager, and Wardley Corporate Finance. Hambros will act as a third underwriter.

  Mr Agell said the listing aimed to underline the firm's commitment to Hong Kong and to provide staff with a share-owning incentive.

  Shareholders in Hong Kong can buy into the car industry through Jardine International Motors and Sime Darby, but Mr Agell reckons Ankor Group will give investors their first bite at a truly independent, grassroots car firm.

  Ankor is now one of the biggest independent car and truck distribution companies in Hong Kong, with a staff of 548 and an after-tax profit of $80 million last year.

  Profits for this year are forecast to hit $154.7 million, following six years of losses after the group started and then another six of climbing profits.

  The group, which sells Saab and Opel cars in Hong Kong, Macau and China, recently opened a sales and service operation in Shanghai, and a similar operation, plus offices, is planned for Beijing by the end of the year.

  The three distributor companies - plus hire purchase and finance arm Viking Finance - have enjoyed a run on the back of a car-buying frenzy in the territory. But car sales in Hong Kong are starting to slow.

    In 1991, Saab became the third best-selling European import in the territory, with sales of 1,078 vehicles.

  The following year was a record for Saab sales, with a 30 per cent leap to 1,445 cars. Last month Swedish Motors launched its Saab 900.

  It had received orders for about 130 Saab 900 cars before the launch, and company officials were confident that by the end of the year it would have sold about 500 of the models.



Swedish Ankor to raise $270m in third car group listing