ZTO, year’s big­gest US IPO with $1.4b

China Daily (USA) - - BUSINESS -

ZTO Ex­press Inc, the Chi­nese de­liv­ery ser­vice that gets about three-quar­ters of its busi­ness from Alibaba Group Hold­ing Ltd, is fol­low­ing its top cus­tomer to the US stock mar­ket with what is set to be this year’s big­gest ini­tial pub­lic of­fer­ing in the coun­try.

The com­pany has been seek­ing as much as $1.3 bil­lion in the sale, which would also be the most a Chi­nese com­pany raised in New York since Alibaba’s record $25 bil­lion of­fer­ing in 2014.

The deal may mark an in­flec­tion point af­ter a string of main­land com­pa­nies have sought to aban­don their US list­ings and move trad­ing back home, where stocks are com­mand­ing higher mul­ti­ples.

ZTO is set to raise $1.4 bil­lion af­ter pric­ing the of­fer­ing above the top end of a mar­keted range, Reuters re­ported on Wed­nes­day in New York. It

Zhang Fan,

head de­signer of GAC Mo­tor Ltd sold 72.1 mil­lionUS de­posi­tary its shares lat­est GS8,at a $19.50 seven-seat apiece,SUV priced ac­cord­ing be­tweento the 160,000re­port, whichyuan ($23,600)cited an uniden­ti­fiedand 260,000 per­son.yuan, in Hangzhou,Zhang the Jian­feng, cap­i­tal of ZTO’sZhe­jiang vice-pres­i­dent­province, on of Wed­nes­day.pub­lic re­la­tions, “Af­ter said years by of phone ef­fort he’s build­ing not Chi­ne­sea­ware of home­grown­the lat­est in­for­ma­tion.ve­hi­cles, with high qual­ity, safety and de­signIt will fea­tures,also testwe are US con­fi­dent in­vestor about de­mand en­teringat a time the when de­vel­oped oth­ers mar­ket­sare go­ingto pro­mote pub­lic our through­brand and re­verse boost merg­ers,our pres­ence,”or back­doorZhang said. list­ings, on the Shen­zhen ex­change.The com­pany said the GS8 would Such chal­lengedeals— when­the do­mes­tic a pri­vate seven-seat­firm pur­chases SUV a mar­ket,pub­lic “shell”which hasto take been over dom­i­nate­d­its list­ing by — for­eign have brands pro­lif­er­at­ed­such as in the China Toy­ota as High­landerthe reg­u­la­tor and made Ford’s it Edge. dif­fi­cult for com­pa­nies“The mar­ketto gain de­mand ap­proval­for larg­er­for IPOs SUVsin Shang­hai.is in­creas­ing, fol­low­ing The China’s wait­ing pol­icy list of for al­low­ing new a main­land­cou­ple to have eq­uity two chil­dren,” of­fer­ing said ap­proval­sXiao Yong, ex­ceeds deputy 800, gen­eral more man­agerthan main­land’sof GAC Mo­tor.to­tal list­ings over Ac­cord­ingthe lastto the five China years,As­so­ci­a­tion ac­cordingof Au­to­mo­bileto the China Man­u­fac­tur­ers, Se­cu­ri­ties sales Reg­u­la­to­ryof seven-seat Com­mis­sionSUVs grew 83.5 web­site per­cent year-on-yearand data in com­piled2015. by Bloomberg.

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