Sateri Holdings, a manufacturer of dissolving pulp and viscose staple fiber, plans to raise as much as US$1 billion from an initial public offering in Hong Kong, the Dow Jones Newswires reported.

According to the report, the company, which is scheduled to list on the Hong Kong Stock Exchange on Dec. 10, has kicked off the pre-marketing event on Monday and will start the marketing tour on Nov. 23 and set the IPO price on Dec.3.

Singapore-based RGE Pte Ltd, in which Indonesian business tycoon Sukanto Tanoto is the controlling shareholder, owns majority stake in Sateri Holdings.

Proceeds from the IPO will be used to expand production capacity of the project in Bahia, Brazil, build a new plant in Fujian Province, China and fund mergers & acquisitions, said the firm.

BOC International Holdings Ltd, Morgan Stanley and Credit Suisse Group are hired as the joint global coordinators for the sale.

source:China Knowledge