China Tower said to receive approval for IPO

telecomasia.net

Chinese telecoms infrastructure joint venture China Tower has reportedly secured approval for an IPO that could be worth as much as $10 billion.

Hong Kong's listing committee has approved the IPO the Hong Kong stock exchange, and the books could be opened on the offer as early as next week, sources told Reuters.

China Tower was established in 2014 to own and operate the towers and associated infrastructure of China's mobile operators China Mobile, China Telecom and China Unicom.

According to the sources, China Tower is looking to raise between $8 billion and $10 billion from the offer depending on market sentiment.

At the top end of the projected valuation the joint venture would be worth up to $40 billion, which would make it the largest IPO since Alibaba's record $25 billion public debut in the US in 2014.

But the report noted that the timing and potential value of the planned IPO will depend somewhat on the market's reaction to Chinese smartphone marker Xiaomi's planned IPO. Xiaomi has since reported a lower than expected $4.72 billion haul from its IPO, suggesting that China Tower's listing could be delayed.

Xiaomi is meanwhile expected to commence public trading on July 9.

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