HONG KONG (Reuters) – Chinese online gaming firm NetEase plans to raise about $2.6 billion to fund expansion through its secondary listing which began on Monday, a term sheet seen by Reuters showed, marking Hong Kong’s largest equity deal so far this year.
Nasdaq-listed NetEase’s paperless offering is expected to be one of several large secondary deals in Hong Kong this year, after Washington questioned whether Chinese companies should be able to list in New York as tensions with Beijing rise.
According to the term sheet, NetEase plans to sell 171.48 million primary shares in the float, 5.15 million shares or 3% of which will be sold to retail investors. It has set a maximum price of HK$126 ($16.26) for the retail tranche.
It will become only the second company to launch a secondary listing in Hong Kong, following Alibaba in 2019, under a rule change that finally allowed U.S.-listed Chinese groups to offer such shares in the city.
NetEase plans to price the offering on…
Source Reuters Tech News
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