China Railway Construction Corp, a state-owned builder of infrastructure, is set to be the most popular offering in the first quarter with a US$3 billion initial public offering in Hong Kong and Shanghai, according to fund managers. 'China Railway Construction acts as a leading player, and it can attract investors for long-term investment,' said Paul Pong, managing director at Pegasus Fund Managers. 'Investors will only aggressively accumulate [the stocks] and will not sell [them] for short-term gains,' he said. China Railway Construction planned to launch its initial public offering in Shanghai and Hong Kong before the end of the first quarter, a source said. The offering would be in two parts: US$1.8 billion worth of A shares and US$1.2 billion of H shares in Hong Kong, the source said. 'If possible, we'd like to launch the deal as early as we can because of the successful debuts of China Railway Group. Investors prefer to buy companies with solid track records and unique positioning,' said another source. The mainland media said that China Railway Construction was likely to list in March, issuing 2.8 billion A shares in Shanghai and two billion H shares in Hong Kong. The company hoped to use the proceeds of the listing to buy equipment and upgrade its technology, the report added. Citi, Citic Securities and Macquaire Securities are arranging the share sale. Nelson Chan Kai-fung, general manager of Bright Securities, said that China Railway Construction would be 'one of the most attractive stocks' this year. 'China's macro-control measures have little impact on infrastructure stocks, and investors think that they can bet on such stocks that can generate good returns for them,' he said. Shares in China Railway Group, another mainland railway firm and the largest integrated construction group in Asia, have surged 96.5 per cent since its trading debut on December 7 last year.