China Railway IPO raises $3.1bn in mainland IPO

China Railway Construction Corp confirmed that it raised US$3.1 billion in a mainland initial public offering Wednesday, the Wall Street Journal reported. The state-run railway company sold shares priced at the top of an indicative range of RMB8-9.08 (US$1.12-1.27) for a listing to be held on March 10 in Shanghai. Shares were oversubscribed 155 times for the retail tranche and 77 times for the institutional batch, as bearish investors have flocked from investing in the secondary market to subscribing in IPOs. China Railway Construction also plans to raise another US$2.33 billion in a share sale in Hong Kong. Meanwhile, Shanghai Pudong Development bank announced that its board approved a share sale that could raise US$4.54 billion, about 20% less than the US$5.6 billion it initially planned.