China Zhengtong Auto Services Holdings Ltd<1278>, a Chinese auto dealer based in Hubei Province, has raised US$470 million from an initial public offering in Hong Kong, the Dow Jones Newswires reported on Friday, citing a source familiar with the matter as saying.
According to the source, the company, which is scheduled to list on the Hong Kong Stock Exchange on Dec. 10, issued 500 million shares for HK$7.30 apiece, a price in the middle of the indicative price range between HK$6.80 and HK$8.60.
Zhengtong Auto, which sells luxury vehicles including Audi and BMW in China, has hired JP Morgan & Chase Co and CCB International Capital Ltd to handle the offering.
Reportedly, Soros Fund Management Hong Kong, a hedge-fund firm founded by billionaire investor George Soros, has earmarked US$40 million to invest in Zhengtong Auto's IPO.
Other investors include China Investment Corp, the country's US$300-billion sovereign wealth fund manager, Temasek Holdings Pte Ltd, Singapore's sovereign wealth fund, and Value Partners, according to an earlier report from China Knowledge.
