Sunshine Insurance sets terms for massive IPO

by Pei Li

Chinese insurer Sunshine Insurance Group Co. has set terms for a Hong Kong initial public offering that could raise as much as $948 million, according to people with knowledge of the matter.

Beijing-based Sunshine Insurance plans to offer 1.15 billion new shares at HK$5.83 to HK$6.45 apiece, the people said, asking not to be identified because the information is private. It plans to launch the share sale on Wednesday, the people said.

The insurer is set to take investor orders through Dec. 5 and start trading on Dec. 9, the people said. The size of the offering could increase to as much as $1.09 billion if a so-called over-allotment option is fully exercised, according to the people.

A representative for Sunshine Insurance didn’t immediately respond to a request for comment outside regular business hours.

Sunshine Insurance operates businesses including life and health insurance, property and casualty insurance and asset management. Huatai International, China International Capital Corp., UBS Group AG and CCB International Holdings Ltd. are joint sponsors of the deal.