China Rail IPO : China Rail plans $5.5-b IPO | Birlaa.com

posted by   arun87 (2)   12 months ago (birlaa.com)

China Railway Group, the world’s third-largest construction contractor by revenue, plans to raise up to $5.5 billion from its Hong Kong and Shanghai IPO amid booming railway investment in China, sources said Monday. China earmarked more than 5 trillion yuan ($673 billion) for transport infrastructure spending in its five year plan for 2006 through 2010, including 1.25 trillion yuan for railways, or four times the amount under the previous five-year plan. State-run China Railway, China’s largest construction company, is offering 3.326 billion shares for the Hong Kong portion of its offering, or about 18% of its enlarged share capital including an overallotment option, with a price range of HK$5.03 to HK$5.78 per share