Sany postpones HK offering

Sany Heavy Industry has postponed a Hong Kong public offering in which it planned to raise US$3.3 billion, after a sudden drop in Asian markets on Thursday scared off investors, the Wall Street Journal reported. The MSCI AC Asia Pacific Index dropped 4% on Thursday, while Hong Kong’s benchmark Hang Seng Index fell 4.9% to a 26-month low. The Chinese construction machinery company, which is already listed in Shanghai, had been due to list in Hong Kong on October 3. People familiar with the situation said that order-taking from international investors would continue as planned, although it wouldn’t be legally binding, and that the deal will be re-launched when market conditions pick up. Sany’s suspension leaves just one other major Hong Kong listing in the queue: the US$1.94 billion IPO of Shanghai-listed Citic Securities, scheduled for October 6.