China Oilfield to Raise $759 Million in Share Placement

China Oilfield Services Ltd. (2883), a unit of the nation’s biggest offshore energy company, said it plans to raise HK$5.88 billion ($759 million) for general corporate purposes through a private sale of new shares.

The company will sell 276.3 million Hong Kong-listed shares at HK$21.30 each, a 7 percent discount to yesterday’s closing price, according to a Jan. 7 filing with the city’s stock exchange. Units of China International Capital Corp., Credit Suisse Group AG (CSGN), JPMorgan Chase & Co. (JPM), Goldman Sachs Group Inc. and Morgan Stanley (MS) are the placing agents, China Overseas said.

“The placing represents a good opportunity to broaden the shareholder base of the company and to raise capital for the company for its future business development,” Beijing-based China Overseas said in the filing. The company said it expects net proceeds of HK$5.82 billion after commissions and expenses.

China Oilfield, a unit of China National Offshore Oil Corp., has surged 39 percent in Hong Kong trading in the past 12 months, compared with a 2.6 percent drop in the city’s benchmark Hang Seng Index. The company let a planned sale of as many as 500 million Shanghai-listed A shares lapse in 2012.

The share sale will be conducted under the company’s general mandate from stockholders and so won’t need special approval from them, China Overseas said.

To contact the reporter on this story: Joshua Fellman in New York at jfellman@bloomberg.net

To contact the editor responsible for this story: Jason Rogers at jrogers73@bloomberg.net

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