China Blue Chemical, the fertiliser unit of mainland oil giant China National Offshore Oil Corp (CNOOC), has received orders more than 10 times the remaining institutional tranche of its Hong Kong initial public offering worth up to US$393 million, the South China Morning Post reported. Strong demand is prompting China Blue and its bookrunners, JP Morgan and UBS, to consider sealing the institutional book a day or two ahead of the scheduled Thursday closing, market sources told the newspaper. The mainland's second-largest nitrogenous fertiliser producer by volume is offering 1.4 billion H shares to institutional and retail buyers – 31.82% of its enlarged share capital – and may expand the issue size by another 15%, the newspaper reported. The initial price range of US$0.18 to US$0.24 per share represents seven to 9.7 times forecast earnings for this year. The final price will be set on Friday and the stock will debut on September 29.
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