Sunday, February 08, 2009

china newswires: Real Gold Mining's new shares fully subscribed ahead of IPO

"Real Gold Mining, which expects to raise as much as HK$1.03 billion through its initial public offering (IPO) in Hong Kong, has allocated 90% of the shares on offer to international institutional investors and the remainder to Hong Kong retail investors, the Standard reported.

One of the largest mainland-listed gold mining firms has placed a large order, sources said. The gold miner planned to sell 165 million new shares at prices ranging from HK$4.35 to HK$6.25 apiece.

Real Gold said the proceeds from the IPO will be used to fund future potential acquisitions of gold resources in Inner Mongolia, Xinjiang and other regions, develop new mines and for general corporate purposes.

RGM launched bookbuilding in Hong Kong on Feb. 5. The roadshow will end on Friday in Toronto and Los Angeles, following stops in Singapore, London, New York and Boston.

Reportedly, Citigroup and Macquarie have been appointed to arrange the deal. Shares of Real Gold Mining will start trading on the Hong Kong Stock Exchange on Feb. 23."

1 comment:

Sanjay Maharaj said...

I guess this is in antipication of a big move on Gold as the global recession deepens and fly to safety to Gold???