China ITS (Holdings) Co., part-owned by Temasek Holdings Pte and Intel Capital, and shareholders may raise as much as HK$923.7 million ($119 million) from a Hong Kong initial public offering, according to a share sale document sent to fund managers today.
Beijing-based ITS and shareholders will sell a combined 236.84 million shares, or a 15 percent stake, at HK$2.85 to HK$3.90 each, said the document. About 84 percent of the shares are newly issued by the company, and the rest are sold by shareholders including CCBI Asset Management and Baring Private Equity Asia, it added.
Two of its pre-IPO investors will buy more shares in the share sale as corporate investors who agree not to sell their holdings for six months, the e-mail says. Temasek, the state- owned investment company in Singapore, will buy $11.5 million worth of shares in the IPO and NWS Holdings Ltd. in Hong Kong will buy another $5 million.
Other pre-IPO investors in the company include GE Capital and Intel Capital, it added.
Bank of America Corp.’s Merrill Lynch & Co. unit, CCB International (Holdings) Ltd. and Macquarie Group Ltd. are managing the sale, said the document.
The company, which provides information technology for transportation infrastructure projects, is raising money for acquisitions, to replenish its working capital and for research and development, the e-mail said.
It began taking orders for the IPO today and will start trading on the Hong Kong stock exchange July 15, the e-mail said.