China Communications Services (CCS), a China Telecom Group company seeking to raise up to HK$2.84 billion in an initial public offering, has attracted strong demand from institutional investors despite raising its offer price by 12 per cent last week, people close to the deal said.
A banker with one of the offering's book runners said subscriptions from international institutional investors exceeded by many times the number of shares set aside for them.
China International Capital Corp and Goldman Sachs are the book runners.
Beijing-based China Communications raised the offer price of the up to 1.29 billion shares to a range of HK$1.70 to $2.20 from the original HK$1.56 to $1.96.
'Since the international roadshow last week, the market has shown deep interest in our company story,' said chief executive Li Ping. 'After reviewing the market response, we think investors are willing to accept a price rise.'
The retail offering opens today and ends on Thursday. The final price will be set around December 1. The stock will start trading on December 8, the firm said.
