China Railway Construction Corp is looking to raise up to US$5.4 billion from its Hong Kong and Shanghai initial public offerings in what would be the biggest share sale so far this year, Reuters reported. Sources said the company will offer 1.7 billion shares in Hong Kong at HK$9.93-10.70 (US$1.27-1.37) per share. In Shanghai, 2.45 billion A-shares, down from the 2.8 billion originally earmarked for sale, will go for RMB8.00-9.08 (US$1.12-1.27) per share. The company will make its Hong Kong debut on March 13, three days after it begins trading in Shanghai. Nine cornerstone investors will take up to US$450 million of the offering. Citigroup and Macquarie expect China Railway Construction to record net profits of US$319.2 million in 2007 and US$582.4 million in 2008, which represent year-on-year increases of 88% and 82% respectively.
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