[photopress:xin_yuan_real_estate_1.jpg,full,alignright]Xinyuan Real Estate has filed with U.S. regulators to raise up to $299.5 million in an initial public offering of American depositary shares.
The Chinese residential real estate developer said in a registration statement with the U.S. Securities and Exchange Commission that Merrill Lynch & Co Inc, Deutsche Bank Securities, and Allen & Company LLC are underwriting the IPO.
Xinyuan plans to list on the New York Stock Exchange under the symbol “XIN”
The company plans to use proceeds from the IPO to acquire land use rights for future property development projects. Remaining proceeds will be used for working capital and other general corporate purposes.
Xinyuan focuses on residential real estate development in larger, more developed cities with above-average gross domestic product and population growth rates. The company’s projects usually consist of multiple residential buildings that include high-rise apartment buildings combined with retail outlets, leisure and health facilities, kindergartens and schools. Xinyuan also provides property management services for its developments. The illustration is taken from its Internet site.
The company has completed 13 projects, with seven under construction and seven in planning stages.
For the nine months ended September 30, Xinyuan’s income nearly tripled to $36 million from $12.5 million in the same period last year. Revenue more than doubled to $218.3 million from $99.7 million in the first nine months of 2006.