SHENZHEN-LISTED securities company Shenwan Hongyuan Group Co. launched Thursday a Hong Kong listing that could fetch up to US$1.25 billion in what would be the largest float in Asia so far this year.

Shenwan Hongyuan is selling 2.5 billion shares, representing 10 percent of its enlarged capital, at a price between HK$3.63 (US$0.46) and HK$3.93, meaning that the deal could raise between US$1.157 billion and US$1.253 billion.

There is a greenshoe, or over-allotment option, of up to 15 percent, bringing the total amount the listing could raise to US$1.441 billion.

Shenwan Hongyuan’s float will surpass the initial public offering (IPO) of Embassy Office Parks Real Estate Investment Trust in India, which fetched US$687 million, making it the largest in the region, Refinitiv data showed.

At the higher end of the price range, it could also be the world’s third-largest stock market float in 2019, behind only ride-hailing company Lyft’s US$2.5 billion IPO in New York and Network International Holdings’ US$1.42 billion IPO in London, the data showed.

Hong Kong had a stellar 2018 in terms of stock market listings, with companies raising US$36.3 billion in the city, the most of any stock exchange globally.

This year, however, is expected to be slower as the stream of companies on the mainland looking to go public thins out.

Companies have raised US$2.9 billion in initial public offerings in Hong Kong so far this year, compared with the US$6.4 billion raised on the Nasdaq in New York, Refinitiv data showed.

(SD-Agencies)