Deals
UBS Fined About $48 Million Over Work on Hong Kong IPOs
- Settlement related to three deals where Swiss bank was sponsor
- SFC has been increasing scrutiny over banks’ underwriting
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UBS Group AG has agreed to pay about HK$375 million ($48 million) to settle allegations by Hong Kong’s securities regulator that it mismanaged three initial public offerings in the city, people with knowledge of the matter said.
The IPOs in question were by China Forestry Holdings Co., Tianhe Chemicals Group Ltd. and China Metal Recycling Holdings Ltd., said the people, who asked not to be identified discussing private information. UBS also received a one-year ban from acting as a so-called sponsor on IPOs in Hong Kong, the people said. Representatives for UBS and the Securities and Futures Commission declined to comment.