Warehouse IPO reroutes Asian investment bank fees

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Warehouse IPO reroutes Asian investment bank fees
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Logistics firm ESR is reviving its Hong Kong IPO plans again after postponing an effort in June. Morgan Stanley has been enlisted to lead the $1.4 bln deal over Deutsche Bank and CLSA. It may be a sign of things to come. AlecMac11

ESR Cayman, which develops and manages warehouses for e-commerce companies, has restarted its Hong Kong initial public offering after shelving the deal in June, Reuters reported on Oct. 21, citing a term sheet it was shown.

The company is looking to sell about 654 million shares and raise between $1.35 billion and $1.45 billion from the offering, according to the report. Shares are being marketed at an indicative range of HK$16.2 to HK$17.4 each, which would give ESR a market capitalisation of $6.3 billion to $6.7 billion.

Canadian pension fund OMERS Administration Corporation has committed $585 million as a cornerstone investor, based on the mid-point of the price range, according to the term sheet.

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