Guangshen Railway Co, the largest railway operator in southern China, raised US$1.32 billion in its domestic initial public offering, Reuters reported Monday. A-shares were priced at 3.76 yuan (US$0.48), near the top of an indicative range of 3.30-3.79 yuan (US$0.42-0.49) and at a discount of 13% to the HK$4.30 (US$0.55) last closing price of the company's Hong Kong-listed H-shares. Guangshen Railway issued 2.75 billion new A-shares, or 39% of its expanded share capital, making it China's fourth largest domestic public offer this year. Retail and institutional investors applied to buy over 119 billion shares, making the offer more than 42 times oversubscribed, according to Reuters. The offer priced the A-shares at 18.55 times forecast 2006 earnings based on the post-offer share capital, compared to 24 times for Daqin Railway Co, a coal-transport railway which listed in August.