Date
22 October 2017
William Yeung, chief executive of HKBN, talks about the trend in revenue growth at a previous media briefing. Photo: HKEJ
William Yeung, chief executive of HKBN, talks about the trend in revenue growth at a previous media briefing. Photo: HKEJ

HKBN seeks to raise US$750 mln in biggest IPO in HK this year

Broadband services provider HKBN Ltd. is preparing an initial public offering in Hong Kong that could raise up to US$750 million for its owners in the city’s first big listing this year, The Wall Street Journal reported.

Private equity firm CVC Capital Partners, which owns a 70.7 percent stake in HKBN, and other shareholders, including Singapore sovereign wealth fund GIC Pte. Ltd., will sell a combined 645 million shares, or about 65 percent of the firm’s shares outstanding.

The indicative price range is between HK$8 (US$1.03) and HK$9 per share, the report said, citing people familiar with the situation.

HKBN will start taking orders from investors Tuesday and is scheduled to list on the Hong Kong stock exchange on March 12.

The offering has secured a US$200 million order from a cornerstone investor, who agreed to buy and hold the shares for a certain period, the newspaper said.

If the HKBN listing succeeds, it could be the largest IPO in Hong Kong so far this year.

HKBN controlled 33 percent of the city’s residential broadband subscriber market in 2013, a Goldman Sachs research report said.

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HKBN has about a third of Hong Kong’s residential broadband market. Photo: HKEJ


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