ZOOMLION H Shares Are Offering &Nbsp; About HK $14 Billion 300 Million In Fund-Raising.

　　 ZOOMLION (000157.SZ) H-share listing Entering the countdown, the company announced on December 12th evening that the company intends to launch H-share global public offering from December 13th to December 16th, with the expected price setting for December 17th in December 12th. Hongkong Market The official listing time is December 23rd.

ZOOMLION's H-share IPO intends to issue 870 million shares, of which about 95% of shares will be issued initially according to the international placement, and about 5% of the shares will be initially issued as a public offering in Hongkong. The issue price range ranges from HK $13.98 to HK $18.98 per share. According to the price range of HK $16.48, ZOOMLION expects the total fund to be raised to HK $14 billion 300 million. Under the assumption that the excess share allotment is not exercised, the company expects net proceeds of HK $13 billion 700 million.

ZOOMLION said that the H-share issuance fund will be used to expand international business, upgrade industries and build core capability, improve R & D capability, replenish liquidity and improve capital structure. About 28% of them are used to expand business and services in some major overseas countries and regions; about 45.8% are used to improve the core products and spare parts capacity of the company; about 5% are used to enhance R & D strength, develop new technologies and products, and enhance information management systems; about 11.2% are used to repay bank loans; about 10% are used to supplement overseas business operations.

Founder Securities believes that H-share issue will have long-term positive impact on ZOOMLION. On the one hand, it will help the company to lighten its financial burden and enhance its R & D strength. On the other hand, it will speed up the globalization process of the company and seize the opportunity in the next cycle.

In November 18th of this year, the issue of ZOOMLION's overseas issuance was approved by the China Securities Regulatory Commission. It approved the issuance of overseas listed foreign stocks less than 1 billion shares. After completing the issue, it transferred the state-owned shares of the social security fund to no more than 100 million shares.

In the middle of this year, ZOOMLION also launched a very rare high distribution and distribution plan, sending 1.7 shares to 15 shares per 10 shares, which was interpreted by the outside world as a convoy for issuing H shares. As a competitor of the company, Sany (600031.SH) launched the H-share plan this year. The two companies occupy the leading position in different fields of construction machinery. Sany is leading in the field of concrete machinery, piling machinery and crawler cranes. ZOOMLION has become the world's first in the world after acquiring third of the world's largest concrete machinery manufacturer CIFA.

Among China's construction machinery manufacturers, 03339.HK has been listed in Hong Kong.

ZOOMLION was founded in 1992 and listed on Shenzhen Stock Exchange in October 2000. According to the 2009 turnover, the company is the second largest and tenth largest construction machinery manufacturer in China. The company had expected net profit of about 4 billion 300 million -45 billion yuan in 2010, an increase of about 75%-84% over the same period last year.

ZOOMLION A shares closed 14.83 yuan on Friday, up 1.16%.