BRIEF: Delton Technology launches $400 million Hong Kong IPO
Printed circuit board (PCB) maker Delton Technology (Guangzhou) Inc. (001389.SZ) launched its IPO on Thursday, aiming to raise about HK$3.18 billion ($406 million) by selling 46 million Hong Kong-listed H-shares for HK$71.88 each.
Applications will close on March 17, with trading set to begin on March 20. Twelve cornerstone investors, including affiliates of UBS, Barings and ICBC, have agreed to buy $190 million worth of shares, or about 45% of the amount being sold. The company plans to use about half of the proceeds to expand and upgrade its current main production base in Guangzhou, and another 20% for the second stage of a base it is building in Thailand.
Delton is one of several PCB-related companies already listed on China’s domestically focused Shenzhen Stock Exchange that are applying for second listings in Hong Kong to expand their financing channels. Others include PCB equipment maker Han’s CNC (3200.HK; 301200.SZ), as well as PCB makers WUS Printed Circuit (002463.SZ) and Dongshan Precision (002384.SZ).
By Doug Young
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