UPDATE 3-Chinese miner pulls HK IPO; Korea’s Mando prices deal

* Tian Yuan share offer delayed for “technical reasons” –

* Comes a day after Swire Pacific pulls $2.7 bln IPO

* S.Korea’s Mando prices IPO at mid-range

* L’Occitane slides as much as 8.5 pct in HK debut
(Adds quote, updates Pru prospectus release date)

By Kennix Chim and Kim Yeon-hee

HONG KONG/SEOUL, May 7 (BestGrowthStock) -Iron ore producer China
Tian Yuan Mining Ltd postponed a $450 million Hong Kong IPO on
Friday, the second Asia offering to be shelved in as many days
as global debt worries and battered markets dented investor
appetite for companies’ fund raisers.

Conglomerate Swire Pacific (0019.HK: ) on Thursday called off
its $2.7 billion property IPO due to global market turmoil
[ID:nSGE6450IT] with leading Asian stock markets falling as
much as 3 percent as Europe’s debt crisis rippled worldwide.

The choppy market conditions dampened the Hong Kong debut
of French skincare products retailer L’Occitane International
(0973.HK: ), which fell as much as 8.5 percent. [ID:nSGE6450IT]

“Investors are cautious to invest in IPOs given the
uncertain stock market,” said Self Li, head of mutual fund
sales in Asia at Baring Asset Management (Asia). “Underwriters
are not willing to take risks to launch deals when they draw
insufficient demand.”

Property IPOs look especially vulnerable, given Beijing’s
efforts to cool the country’s real estate sector.

“A lot of the property deals we’re doing are effectively on
hold,” said one Hong Kong-based IPO lawyer, who declined to be
named, adding that his firm is working on five or six property
listings. “It’s going to be like that for a while.”

However, South Korean car parts maker Mando Corp
(060980.KS: ) braved the turmoil and got its $437 million initial
public offering away, pricing in mid-range. [ID:nTOE64501W]

Tian Yuan elected not to proceed as shockwaves from
Greece’s debt crisis continued to spread, compounded by what
appeared to be a trading glitch on Wall Street that at one
stage on Thursday knocked 1,000 points off the Dow Jones
industrial average (.DJI: ).

“The IPO has been postponed indefinitely due to technical
reasons,” said a memo sent from one of the banks involved and
forwarded to Reuters from an investor seeking to invest in the
Tian Yuan IPO.


For FACTBOX on Asia IPOs this year: [ID:nSGE64307V]

For graphic on HK IPO debuts:

For TAKE A LOOK on global IPOs: [ID:nN09165245]

For Insider TV on AgBank IPO:


While Tian Yuan’s excuse of “technical reasons” gave little
away, it’s clear that a combination of factors has triggered a
global sell-off in recent weeks, fed by fears of a deepening
debt crisis in Europe, and property tightening measures in

IPOs around the world are being cancelled, highlighting
potential difficulties for upcoming deals including
Agricultural Bank of China [ABC.UL]. The fourth-largest bank in
China plans to raise $30 billion from Hong Kong and Shanghai in

Another mega-deal facing uncertainty is a $21 billion cash
call by Britain’s largest insurer, Prudential (PRU.L: ), which
hit a last-minute regulatory snag this week.

The delay in issuing the deal’s prospectus has put the
ambitious takeover of AIA, AIG’s (AIG.N: ) Asian arm, on ice and
threatens next week’s planned listings in Hong Kong and
Singapore. [ID:nLDE6451DF]

Sources involved in the Pru-AIA deal say they expect the
prospectus to be issued early next week.

In the United States, the listing of Americold Realty
Trust, the country’s biggest IPO of 2010, was also pulled.

Stock Market Today

(Additional reporting by Michael Flaherty, Denny Thomas and
Donald Durfee in HONG KONG and Rhee So-eui in SEOUL; Writing by
Lincoln Feast, Editing by Ian Geoghegan and Valerie Lee)

UPDATE 3-Chinese miner pulls HK IPO; Korea’s Mando prices deal