China’s Yangzijiang Shipbuilding Holdings Ltd (揚子江船業) plans to sell shares in Taiwan next month, making it the first Chinese firm to be traded on the local bourse, its chief underwriter said yesterday.
China’s fourth-largest shipmaker aims to raise up to NT$4.5 billion (US$140 million) via Taiwan depositary receipts (TDRs), said Jeff Wen, a project manager at SinoPac Securities Co (永豐金證券), which is handling the deal.
The company intends to sell 240 million TDRs, or 120 million of its shares, for NT$17 to NT$19 each, he said.
It is aiming to list on Sept. 8, he said.
“The response is very enthusiastic as Yangzijiang will be the first Chinese firm to be listed in Taiwan,” he said.
Yangzijiang Shipbuilding is also registered and listed in Singapore.
Taiwan and China last year signed three financial memoranda amid warming ties, paving the way for closer cooperation in banking, insurance and securities.
The signing of the Economic Cooperation Framework Agreement in June is likely to further speed up financial exchanges, making it easier for Taiwanese banks to set up branches in China.
“This is definitely a milestone for Taiwan,” Stanley Chu (朱士廷), a spokesman for Taiwan Stock Exchange (臺灣證交所), said by telephone in Taipei. “Our next step is to get red chips to list in Taiwan. Hopefully that will happen by the end of the year.”
Red chips are Chinese companies incorporated overseas and traded in Hong Kong.
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