观点新股发行

China property: Onewo float will need all its defensive properties

Finding enough brave investors to take up the IPO will be a big test

China’s crumbling property sector has wreaked havoc on its stocks and bonds alike. Despite the bad press, Chinese property manager Onewo plans to move ahead with its Hong Kong listing, in what could be one of the city’s biggest this year. The longer-term prospects could surprise investors.

At the midpoint of its targeted range of HK$47.10 to HK$52.70, Onewo would raise about $750mn, valuing the company at about $7.5bn. China Vanke, the country’s second-largest developer, owns 62.9 per cent of Onewo.

Big macro factors argue against a successful listing for the company. Hong Kong l