Tuesday, March 1, 2011

Hutchinson Port Holdings IPO

Hutchinson Port Holdings IPO: Preliminary Prospectus is out on Masnet. Grp plans to raise as much as US$6.4b, which if successful, would be the largest in SGX history. In a prospectus filed with MAS, Hutchison Port Holdings said that it will sell up to 3.9b units to institutional investors and the public at an offer price ranging between US$0.91 and US$1.08/unit. The offer also has an over-allotment option of about 15% of the total number of units….

The US$6.4 billion proceeds from the IPO assume the company is pricing its units at the top end of the range, investment by cornerstone investors and Hutchison exercising the over-allotment option. If the overallotment option isn't exercised, Hutchison would raise US$5.8b at the top end of the range, which includes proceeds from cornerstone investors….

Eight cornerstone investors have agreed to invest US$1.62b, Hutchison said. Among the cornerstone investors, US based Capital Research and Management Company, which manages the American Funds Group, will invest US$634m; SG Temasek Holdings at US$100m; US based Paulson & Co at US$350m; and Lone Pine Capital at US$186m….

People familiar with the situation said that roadshows are likely to start in Hong Kong later Monday with a possible listing likely on Mar18. DBS, Deutsche and Goldman Sachs will be IPO’s joint bookrunners and joint issue managers, while Co-Lead managers would include Barclays, JP Morgan, UBS, Daiwa and Morgan Stanley.

Grp has set an indicative yield of 5.5%-6.5% for its IPO

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