IPO, US$1,05bn
Want Want China Holdings is China’s largest maker of rice crackers and flavoured milk. Although it had already listed in 1994, it withdrew from the Singapore stock exchange in 2007 moving its listing to Hong Kong where Chinese companies command higher valuations. This however was executed amid very shaky market conditions where concerns about investment losses in the U.S subprime mortgages affected the global economy and dented investor confidence. Want Want raised $1.05bn after selling 2.7 billion shares (20.5% of its enlarged share capital) at the bottom of the HK$3 – HK$4.1 price range. Of the offered shares 85.4% were existing shares and 14.6% new shares. The offering price valued the firm at 20.3 times forecast 2008 earnings Media Tree not only organised the roadshow but was also appointed to coordinate the sales force presentation, the press conference as well as the logistics for the listing ceremony. The highly branded environment for the group presentations required by the Want Want management as well as the coordination of the distribution of most of their product lines across the globe added challenges to the execution of the roadshow which was nonetheless delivered seamlessly.