By Mandy Lo of The Standard
2009/01/13

Mainland building engineer China Singyes Solar Technologies Holdings plans to raise up to HK$73.2 million by issuing 60 million new shares in an initial public offering on the Hong Kong bourse, market sources said.

IPO price is set at HK$1 to HK$1.22 per share, representing 2.8 times to 3.42 times its first half net profit this year.

A board lot of 2,000 shares will cost HK$2,440.

Application starts today and ends on Tuesday.

China Singyes is expected to go public in mid-January, probably the second stock to be listed in Hong Kong next year. It engages in engineering design, fabrication and installation of conventional curtain walls, building integrated photovoltaic system and sales of solar power products.

Amid the deteriorating global economy and weak market sentiment, it said some of its projects wear put on hold or suspended, due to declining investment in the residential, commercial and industrial property sectors. Net profit of the company surged 70 percent to HK$52million in the first half, ending June 30 from a year earlier. Earnings per share were 35.67 HK cents. Interim revenue rose 43.5 percent to HK$374.6 million.

The company intends to distribute 30 percent of its net profit to shareholders as dividend in the financial year starting tomorrow, the first day of 2009.