BRIEF: Carote IPO could raise nearly $100 million

Kitchenware maker Carote Ltd. (2549.HK)launched its IPO on Monday with plans to sell nearly 130 million shares, including about 10% to Hong Kong-based investors. It set the offer price at a range of HK$5.72 to HK$5.78 per share, with one lot equal to 500 shares and an entry fee per lot of HK$2,919.

The subscription deadline for share orders is Thursday, and the final pricing will take place on Friday, followed by a trading debut Oct. 2. The company could raise up to HK$750 million ($96 million) if demand is strong and the shares price at the top of their range.

Carote’s revenue in this year’s first quarter rose 72% to 500 million yuan ($71 million), while its profit rose 58% to 88.5 million yuan. Proceeds from the share sale will be used for acquisitions or investments, product development, and expansion of sales channels.

By Lau Chi Hang

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