Qingdao Victall Railway, a China-based railroad equipment manufacturer backed by insurance provider Hua Insurance, will raise $172m on the Shanghai Stock Exchange’s Main Board, DealStreetAsia reported today.
The company plans to issue approximately 75.6 million shares priced at RMB16.14 ($2.30).
Founded in 2007, Victall produces a full range of compartment interiors and exteriors for trains, trams and subways, such as seats, toilets, doors, kitchens, luggage racks, water supply and air duct systems and sun visors.
The company operates through six subsidiaries and four joint ventures in China as well as three subsidiaries in Germany, the US and Canada.
Hua Insurance was identified by DealStreetAsia as an investor, though Victall does not appear to have revealed details about its funding history other than disclosing an investment of undisclosed size from CMSC, an investment arm of China Merchants Securities, in 2010.
Victall will put proceeds towards building a research and development facility and to support its operations in Qingdao and Tangshan.
Qingyan Su will remain the largest shareholder in Victall with a 24.9% stake following the offering, while Ruize Capital will own 17.3%. Victall’s backers also include Winning Capital and Bund Capital.
China Securities is acting as the lead underwriter for the offering.
