China Oilfield to commence on trade in Shanghai on Fri

China Oilfield Services Limited (COSL)<601010>, a branch of China National Offshore Oil Corp (CNOOC) <883>, announced that the company had raised a total of US$899 million and will make its debut in the Shanghai Stock Exchange this Friday.

The initial offer attracted RMB 2.17 trillion in subscribers, distributed between retail and institution investors. China Oilfield sold 500 million A-share valued at RMB 13.48 per share, amounting to 11.1% of its expanded capital share. The price of the share was valued at the higher end of the indicative range.

The A-share sales was set at a 13% discount from its shares in the Hong Kong market, which closed at HK$16.10. The sales volume distributed to retail and institution, reached 350 million and 150 million respectively.

Proceeds raised from the IPO, will be used for the purchase of drilling and exploration equipment, as well as the construction of new vessels.

CNOOC is the largest shareholder of China Oilfield, with a 54.73% stake after the IPO.