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Yum China to raise $2.2 billion in Hong Kong secondary listing: Report

The company had flagged it would sell 41.91 million shares in the deal and the price is a 4.8% discount to the stock's Thursday closing price of $55.92 in the US

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China | Hong Kong

Reuters  |  HONG KONG 

Yum China to raise $2.2 billion in Hong Kong secondary listing: Report

By Scott Murdoch and Julie Zhu

(Reuters) - Yum is set to raise $2.22 billion in its secondary listing after indicating that its shares would be priced at HK$412 each, according to two sources with direct knowledge of the matter.

The company had flagged it would sell 41.91 million shares in the deal and the price is a 4.8% discount to the stock's Thursday closing price of $55.92 in the U.S.

The sources could not be named because the information had not yet been made public.

Yum China, which operates KFC, Taco Bell and Pizza Hut restaurants in China, declined to comment.

Yum China's deal is the city's third largest secondary listing in 2020.

Tech giants JD.com raised $4.4 billion, after it exercised its overallotment option, and NetEase raised $3.1 billion during June when they carried out secondary listings in Hong Kong.

The city's largest IPO remains Bohai Bank which raised $2.05 billion in July.

Equity capital market activity in Hong Kong, including both IPO and secondary listings ahead of Yum, was worth $20.34 billion so far in 2020, according to Refinitiv data.

The value of deals in the city year-to-date compares to $10.83 billion for the same period last year, the data showed.

 

(Reporting by Scott Murdoch and Julie Zhu in Hong Kong; Editing by Shri Navaratnam)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Fri, September 04 2020. 09:33 IST
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