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Fosun Tourism Group Downsizes HK IPO by Nearly Half

Published 11/30/2018, 12:25 AM
© Reuters.  Fosun Tourism Group slashed the size of its Hong Kong IPO

Investing.com – French holiday resort firm Club Med’s parent company, Fosun Tourism Group, slashed the size of its Hong Kong IPO from $1 billion to $547 million, according to the South China Morning Post.

The company is set to price the 214.2 million shares between HK$15.6 to HK$20 each. The company’s chairman said in a press briefing that “the size of our fundraising was set based on our business development needs and the current market and investor situation.” This signals a downward market sentiment.

The company’s shares will start trading on Dec. 14, after the public offering is completed on Dec. 6.

Alibaba-backed online parenting firm Babytree (HK: 1761) also slashed its IPO in Hong Kong from $1 billion to $233 million, according to Reuters.

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