Shanghai Electric to list in Shanghai on Dec. 5
Shanghai Electric Group Co Ltd<601727><2727>, one of China’s largest mechanical and electrical equipment manufacturers, announced on Tuesday it would list in the Shanghai Stock Exchange on Dec. 5, according to its filing with the Hong Kong Stock Exchange.
The company has taken over its unit Shanghai Power Transmission & Distribution Co (SPTD), in which it holds 83.75% stake through a share swap.
The Hong Kong-listed company issued 616. 04 million A-shares on the Shanghai market priced at RMB 4.78 to privatize SPTD and will offer minority interests in SPTD RMB 28.05 per share in cash.
Shanghai Electric Group will pay RMB 35 for every SPTD share with a 24.78% premium, namely every SPTD share will be swapped for 7.32 new Shanghai Electric shares, in a bid to compensate those SPTD shareholders and the third party that provides cash options for their risks on changes of the stock prices,
Shanghai Power has delisted from the Shanghai Stock Exchange on Nov. 26.
On Tuesday, H-shares of Shanghai Electric dropped 6.52% to close at HK$2.58.
Tags: china stock, Electronics, Shanghai-Stock-Exchange