Lotte Chemical Titan to reduce shares to be allotted to institutional investors under IPO by 23.4%

03-Jul-17

Lotte Chemical Titan Holding, the Malaysian unit of petrochemical giant Lotte Chemical Corp, said Monday it has cut the amount of shares to be allotted to institutional investors under its initial public offering by 23.4%, which will shrink its IPO size, as per asia.nikkei.com. However, the company, which kept its listing target as Jul. 11, will now sell 580 million shares, lower than the initial target of 740.48 million shares, it informed the stock exchange.
The institutional tranche now involves 524.22 million shares, a reduction from the original offering of 684.70 million shares, Lotte Chemical said in the exchange filing. Order taking from institutional investors will end 10.00 pm Jul. 3 with price-setting scheduled for Jul. 4, the company said. The decision was made "after taking into account the overall demand through price discovery," Lotte Chemical said.
乐天化学泰坦决定寻找新的订单from institutional investors for its initial public offering on Monday following valuation concerns, two people familiar with the development had told Nikkei Markets last week. The company also lowered the IPO's floor price to 6.50 ringgit, according to the latest term sheet reviewed by Nikkei Markets. The IPO was initially marketed at between 7.60 ringgit and 8.00 ringgit a share to institutional investors, according to an earlier term sheet.