China Shipping spells out terms of public offering

China Shipping spells out terms of public offering    China Shipping Container Lines has announced the terms of its planned initial public offering to the Hong Kong stock exchange.
   The Shanghai-based shipping company will initially offer 121 million “H” shares to the public, representing 5 percent of the total shares on offer. The balance is believed to be destined for large institutional and strategic investors, such as Hutchison Whampoa.
   The 121 million shares offered to the public will be priced at between HK$3.175 and HK$4.175, and will therefore raise between HK$384 million ($49 million) and HK$505 million ($65 million).
   The total proceeds of the initial public offering of 2.42 billion H shares are expected to amount to about $1.2 billion.
   The number of shares to be issued by the company may be amended depending on the interest from investors.
   “It is expected that the level of indication of interest in the placing, the offer price, the result of applications and the basis of allotment under the public offer will be published on or about Tuesday, June 15,” said Li Kelin, chairman of China Shipping Container Lines, in a statement to the stock market.
   Dealings in the H shares on the Hong Kong stock exchange are expected to commence on June 16.