KUALA LUMPUR: Malaysia's Lotte Chemical Titan Holding Sdn Bhd will relaunch its initial public offering (IPO) on Monday at a lower price than initially targeted due to weak investor appetite, three sources familiar with the deal said.
The IPO will likely be launched at RM6.50 per share, raising RM4.81 billion (US$1.12 billion), the sources said, speaking on condition of anonymity as the process is private.
The offering was earlier expected to price in the RM7.60-RM8.00 per share range, raising up to US$1.4 billion.
Lotte Chemical Titan did not immediately respond to a request for comment.
The integrated petrochemical producer, which is targeting a July IPO on the Bursa Malaysia stock exchange, is wholly owned by South Korea's Lotte Chemical Corp.
Earlier this month, Lotte Chemical Titan said Permodalan Nasional Bhd (PNB), Eastspring Investments Bhd, Great Eastern Life Assurance Malaysia Bhd, Maybank Asset Management Sdn Bhd and Maybank Islamic Asset Management Sdn Bhd had signed on as cornerstone investors.
The IPO plan involved the sale of 740.4 million shares, or 30 per cent of enlarged capital, with 18.4 per cent taken up by the cornerstone investors. -- REUTERS