China's ZTO Express bounces after securing $870 mln capital raise
25/08/2022 17:30
** U.S.-listed shares of ZTO Express ZTO.N up 3.3% at
$25.13 in midday trading on Thurs after capital raise
** Chinese delivery firm priced $870 mln 1.5% 5-yr
convertible bond offering with $130 mln over-allotment option
urn:newsml:reuters.com:*:nPNA6hDrda
** Conversion price of $31.62 represents 30% premium to last
close
** Shares on Weds fell 9.2% for their biggest one-day
decline in 5 months after co launched transaction
** Co to use portion of net proceeds to pay cost of capped
call transactions, rest to grow its logistics operations, invest
in logistics ecosystem and for working capital
** Goldman Sachs sole bookrunner for offering
** ZTO had ~$21.6 bln market value through Weds close, per
Refinitiv data
** U.S.-listed shares off ~10% YTD including move on the
session
** Meanwhile, China ADRs also getting a boost on Thurs on
report Beijing nearing deal to let U.S. accounting regulators
inspect co records in Hong Kong urn:newsml:reuters.com:*:nL4N3013RK
(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))