CHINA. CTG Duty-Free, operator of the world’s biggest travel retailer (China Duty Free Group/CDFG) today revealed the offer price and allotment results of its Hong Kong Public Offering and International Offering.
The group revealed that 5,669 valid applications had been received pursuant to the “slightly oversubscribed” Hong Kong Public Offering for a total of 5,428,000 Hong Kong Offer Shares.
That represents approximately 1.06 times the total number of 5,138,200 H Shares initially available for subscription under the Hong Kong Public Offering.
It represents approximately 5% of the total number of Offer Shares initially available under the Global Offering (before any exercise of the Over-allotment Option).
The Offer Shares initially offered under the International Offering have been “well over-subscribed”, CTG Duty-Free said, representing approximately 4.7 times the number of International Offer Shares initially available.
The final number of Offer Shares under the International Offering is 97,623,700, representing approximately 95% of the total initially available under the Global Offering (before any exercise of the Over-allotment Option). The Offer Price has been determined at HK$158.00 per Offer Share (excluding brokerage of 1.0%, SFC transaction levy of 0.0027%, FRC transaction levy of 0.00015% and Hong Kong Stock Exchange trading fee of 0.005%).
After deduction of underwriting fees and commissions and estimated expenses payable by the company in connection with the Global Offering, the net proceeds are estimated to be approximately HK$15,892.3 million (assuming the Over-allotment Option is not exercised).
For details of how the net proceeds will be invested, click here for our earlier extensive coverage.
As reported today, CTG Duty-Free received a big boost this week on the eve of trading commencing on The Stock Exchange of Hong Kong when it was awarded the duty free retail contract at Chengdu Shuangliu International Airport.
As a result, CDFG and Sichuan Airport Group plan to leverage their respective strengths to create a joint venture company to operate the airport’s arrivals and departures duty free stores. The two companies pledged to develop a world-renowned, first-tier airport flagship duty free offering at one of the country’s premier airports.
