China Tianrui Group Cement, a company backed by buyout firm Kohlberg Kravis Roberts & Co., has raised USD 124 million in an initial public offering in Hong Kong, Reuters reported, citing IFR. The company, based in Henan province in eastern China, priced roughly 401 million new shares at HKD 2.41 each, putting the deal at HKD966.17 million (USD 124.12 million), wrote Reuters.

(Reuters) - China Tianrui Group Cement, a cement producer backed by private equity firm KKR, has raised USD124 million in one of the few remaining initial public offerings of the year in Hong Kong, IFR reported on Tuesday, citing two sources with direct knowledge of the deal.

Tianrui, headquartered in Henan province in eastern China, priced 400.9 million new shares at HKD 2.41 each, putting the deal at HKD 966.17 million (USD 124.12 million), said IFR, a Thomson Reuters publication. The sources were not authorised to speak publicly on the matter.

The deal was priced at the bottom of a HKD 2.41-HKD 3.61 indicative range, equivalent to a 2012 price-to-earnings of 2.39 times, IFR reported.

Tianrui’s deal comes on the heels of several large IPOs in Hong Kong in the past weeks that were priced at or near the low end of expectations.

The deals included a combined USD 4.3 billion raised by Chow Tai Fook Jewellery Group Ltd, New China Life Insurance and Baoxin Auto Group Ltd.

BOC International, BoCom International and CCB International, the international securities units of three of China’s largest banks, acted as joint global coordinators with Deutsche Bank AG.

Source:pedaily.cn