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Car parts firm plans US$100m offering

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SCMP Reporter

The mainland car industry will share the listing limelight with the Link Reit next month as car parts maker Minth Group plans the launch of its US$100 million offering along with Dongfeng Motor's US$500 million to US$600 million float.

According to sources, Minth will start pre-marketing its offering, which is likely to coincide with Dongfeng's, in the middle of next month.

'Dongfeng is expected to attract much investor attention being the mainland's third-largest carmaker and because of the size of its fund raising, and Minth is likely to benefit from its potential success,' a source said.

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Cazenove Asia is the sponsor of Minth's issue.

Minth is one of the largest mainland vehicle parts makers, supplying customers such as Toyota Motor, Nissan Motor, Honda Motor and Mazda Motor.

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The company has spent about US$100 million building 13 factories including plants in Guangzhou, Shanghai and Tianjin. It posted turnover of more than US$1 billion last year, with about 70 per cent of its products being sold to mainland customers.

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