CHINA Pharmaceutical Enterprise and Investment Corp got its H-share issue away at a price-earnings ratio of 13.3 times, managing to attract 472 investors who were prepared to commit $638.4 million, the company announced.
China Pharmaceutical, which makes Vitamin C, found its offer over-subscribed 3.27 times, a lower level than the 14.1 times for the last China listing in Hong Kong, Dongfang Electrical.
The company's pricing was more aggressive than Dongfang's, which set its price at 11.94 times prospective earnings when it listed earlier this month.
China Pharmaceutical's shares will start trading on June 21, with the proceeds of the $195 million issue to be put to work expanding production facilities.
''We are pleased with the encouraging response to the company's offer,'' said Wang Chun-yao, chairman and general manager of the company.
''The investing public's support for the issue, under relatively unstable market conditions, reflects the market's recognition of China Pharmaceutical's outstanding market position in the manufacture of Vitamin C,'' he said.
