SWISS agrichemical giant Syngenta Group has begun the so-called “tutoring” process with banks ahead of a planned initial public offering (IPO) on Shanghai’s STAR Market, indicating a float may occur before its June 2022 target.

The investment banks involved in the process, which is unique to China, and sees bankers coach company executives on IPO-related issues, are China International Capital Corp., Bank of China unit BOCI and Citic Securities.

Sources said the IPO would value Syngenta at around US$60 billion including debt, or US$50 billion without.

A spokesperson for Syngenta, which is owned by ChemChina and recorded US$23.1 billion in sales last year, said the firm plans to complete the IPO by the end of the first half of 2022. However, the filing of the tutoring documents indicates the float may be earlier than that, the spokesperson added.

In a statement issued Monday, Syngenta described filing the tutoring documents as a “preparatory step towards a possible initial public offering” on the STAR Market, or Science and Technology Innovation Board of the Shanghai Stock Exchange.

An actual listing application “would require a formal submission and be subject to approvals from relevant regulators,” it added.

The China Securities Regulatory Commission published the pre-listing tutoring report on its website Monday.

ChemChina, which bought Syngenta for US$43 billion in 2017, last year merged the Swiss firm with Israel’s ADAMA and the fertiliser and seed business of Sinochem. (SD-Agencies)