China Huiyuan Juice Group, which is seeking to raise as much as HK$2.4 billion through an initial public offering, will respond to strong demand by pricing its shares at HK$6, the top of the indicative price range, a source said.
The retail portion of Huiyuan Juice's share offering was at least 800 times oversubscribed, making it the hottest Hong Kong offering so far this year, the source added.
'The offering is probably set to reach around 1,000 times after counting all orders including those from electronic applications,' the source said.
The strong response, which has tied up HK$192 billion in funds, will probably result in the shares available for retail investors being increased to 200 million from the original 20 million, according to the listing document.
The international tranche was about 100 times covered with investors still heavily betting on a mainland consumer sector that is benefiting from the country's thriving economy.
'Institutional investors placed the orders with no price sensitivity,' said a source close to the arranger.
UBS is the sole bookrunner of the offering. Trading is expected to begin on February 23.
