Sinopharm Signs Up 9 Cornerstone Investors In $1 Billion IPO-Source
September 01 2009 - 3:33AM
Dow Jones News
China National Pharmaceutical Group Corp. has signed up nine
cornerstone investors that will subscribe to a combined US$195
million worth of shares in the company's US$1 billion Hong Kong
initial public offering, a person familiar with the deal said
Tuesday.
According to the person, the strategic investors are China Life
Insurance Co. (LFC), Bank of China Ltd. (3988.HK), China
Construction Bank Corp. (0939.HK), the Government of Singapore
Investment Corp., Och-Ziff Capital Management LLC (OZM), Value
Partners Group Ltd. (0806.HK), Martin Currie Investment Management
Ltd., Bank of East Asia Ltd. (BKEAY), and China Chengtong
Development Group Ltd. (0217.HK).
The Chinese company, also known as Sinopharm Group, is the
country's largest pharmaceutical company by sales revenue and is
planning to list in Hong Kong next month, according to a term sheet
seen by Dow Jones Newswires on Monday.
It plans to sell 545.7 million shares, with an option to sell an
additional 81.9 million depending on demand, the document said.
The state-owned company plans to use the proceeds to expand its
distribution coverage and retail network, acquire pharmaceutical
products, and upgrade its logistics and information technology
systems, according to the term sheet.
Morgan Stanley (MS), China International Capital Corp., and UBS
AG (UBS) are the bookrunners of the IPO.
-By Nisha Gopalan, Dow Jones Newswires; 852-2832-2343;
nisha.gopalan@dowjones.com