1. Home
  2. Maritime industry news - PortNews
  3. Taiwan Economics Ministry to privatize China Shipbuilding Corp.

2008 November 18   12:54

Taiwan Economics Ministry to privatize China Shipbuilding Corp.

The Ministry of Economic Affairs (MOEA) in Taiwan will release 51% stake in the state-run CSBC Corporation (China Shipbuilding) by the end of this year, marking it the largest initial public offering for 2008 so far.
Fubon Securities Co. will handle the issuance of 33%, or approximately NT$3 billion (US$90.9 million at US$1:NT$33), of the CSBC shares.
Fubon Securities noted it would auction 20% of the CSBC share issue at the minimal set price of NT$13.31 (US$0.4) per share in the latter part of Nov. H.H. Liao, Fubon Securities vice president, said some domestic insurers, venture-capital firms and institutional investors are eager to bid in the auction.
At the end of September, CSBC saw net per share value reach NT$17.4 (US$0.52), meaning the minimal auction price is only 77% of its net worth and bears a 23% discount. So far, CSBC hasnt yet released any of its shares.
Scheduled to go public on the Taiwan Stock Exchange on Dec. 22 this year and to meet the Securities Trading Law, CSBC will sell 131.896 million shares Nov. 26-28 by auction. During Dec. 8-10, the company will release 87.928 million shares at NT$13.1 (US$0.39) to NT$15.97 (US$0.48) per share, as well as offer 119.904 million shares for employees to buy.
Despite the global economic recession, Cheng, CSBC chairman, believes the timing is right for CSBCs IPO as many shipbuilders globally are consolidating, adding that CSBC would improve core operations, global competitiveness via privatization.
Excluding the provision of NT$1.985 billion (US$60.15 million) for pension, CSBC posted NT$2.093 billion (US$63.42 million) in after-tax earnings, or NT$3.14 (US$0.095) in earnings per share, in the first

Latest news

2025 April 3

Mon Tue Wed Thu Fri Sat Sun
1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30