CHINA’S DONGFENG REVIVES IPO. The Hong Kong
Stock Exchange has approved the initial public offering of
Chinese automaker Dongfeng Motor Corp. The IPO, originally
planned for last year, was postponed because of the
slowdown in the growth of China’s auto market.
The IPO, which could raise as much as $600 million
(reduced from the original $1 billion target), is due by the
end of the year, according to media reports from China.
Dongfeng is counting on the appeal to investors of its
joint-venture manufacturing operations with Honda,
Nissan and PSA Peugeot Citroen. The three partnerships
collectively produced 355,000 vehicles through the first
half of 2005, up 29% from the year-ago period.
Rival Shanghai Automotive Industry Corp., which also
delayed its IPO last year, is expected to go public in 2006.
