CCCG on course for US$2bn IPO

Port builder China Communications Construction Group (CCCG) is likely to price its initial public offering at the top of end of the scale after the international portion was 60 times oversubscribed. Institutional investors have placed orders worth US$120 billion, the largest amount since Industrial and Commercial Bank of China, the South China Morning Post reported. CCCG hopes to raise around US$2 billion by selling 3.5 billion new H-shares at US$0.44-0.59 each, which equates to between 17.5 and 23 times forecast earnings for the year. Around US$240 million in shares has been set aside for cornerstone investors such as China Life, New World Development chairman Cheng Yu-tung and Singapore's GIC Direct Investment.