On December 13, the CSRC issued the IPO approval of China Mobile and approved the IPO application of China Mobile Co., Ltd. according to legal procedures. This means that, together with China United Network Communications Limited(600050) , China Telecom Corporation Limited(601728) listed on the main board of Shanghai Stock Exchange, the three major operators in China will gather a shares.
On August 18, 2021, China Mobile announced that the application materials for the company’s initial public offering of A-Shares had been accepted by the CSRC.
On November 4, China Mobile’s initial application was approved.
On December 13, China Mobile received the approval from the CSRC.
In the early morning of December 14, China Mobile released the latest prospectus. Compared with the prospectus disclosed in August, the issuance scale of China Mobile has been reduced. This prospectus disclosed that the company plans to publicly issue no more than 846 million shares, accounting for no more than 3.97% of the total share capital after the issuance (before the exercise of the over allotment option), and grant the co lead underwriters an over allotment option (or “green shoes”) of no more than 15% of the initial issued shares. If the green shoes are fully exercised, The total number of shares issued will be expanded to 973 million, accounting for about 4.53% of the total number of shares issued by the company after the issuance (after the over allotment option is fully exercised).
determination of issuance arrangement
introduce the “green shoe” mechanism
China Mobile released the IPO arrangement and preliminary inquiry announcement.
The A-share stock code of China Mobile is 600941 and the online subscription code is 730941.
December 16 and 17 are the preliminary inquiry days issued by China Mobile. China Mobile will hold an online roadshow on December 21 and make online and offline subscription on December 22.
In the announcement, China Mobile disclosed the “green shoe” mechanism of the A-share IPO, which means that the lead underwriter has the right to choose to buy the issuer’s shares from the centralized bidding trading market according to the market conditions, or require the issuer to issue additional shares and distribute them to the investors who apply for subscription of the oversold part.
Through the “green shoe” mechanism, China Mobile can more flexibly control the issuance scale to stabilize the stock price.
However, China Mobile said in the announcement that the measure did not guarantee to prevent the stock price from falling.
In its latest prospectus, China Mobile has predicted the performance in 2021. It is expected that the operating revenue in 2021 will be about 844.877 billion yuan to 852.558 billion yuan, with a year-on-year increase of about 10% to 11%; The net profit attributable to the shareholders of the parent company was about 114.307 billion yuan to 116.464 billion yuan, with a year-on-year increase of about 6% to 8%; After deducting non recurring profits and losses, the net profit attributable to shareholders of the parent company was about 107.285 billion yuan to 109.328 billion yuan, with a year-on-year increase of about 5% to 7%.
The content is comprehensive from the CSRC, Shanghai Stock Exchange, China Securities News, Shanghai Securities News, China Economic Net, etc
( Bank Of China Limited(601988) insurance report)
