>>> Duoyuan shares jump 30 percent in debut
Wed Jun 24, 2009 11:30am EDT
* Duoyuan ADRs price for $16, jump 31.2 pct in debut
* Duoyuan IPO raises $88 mln, higher than expected (Adds trading debut)
NEW YORK, June 24 (Reuters) - Shares of Duoyuan Global Water Inc (DGW.N: Quote, Profile, Research, Stock Buzz) jumped more than 31 percent in their market debut on Wednesday, after the Chinese water treatment equipment supplier's initial public offering priced above its estimated range.
Duoyuan ADRs started trading for $22.65, at a 41.6 percent premium over their offer price, before giving up some ground. They were changing hands on the New York Stock Exchange for $20.99, up 31.2 percent, in the late morning.
Earlier Wednesday, Duoyuan priced its ADRs for $16 and sold 5.5 million of them, raising $88 million.
In a recent regulatory filing, Duoyuan had estimated it would price 5 million ADRs for between $13 and $15.
Duoyuan's IPO, the ninth overall in 2009 on a U.S. exchange, comes on the heels of a deal by another Chinese company, chemical maker Chemspec International Ltd, (CPC.N: Quote, Profile, Research, Stock Buzz) which raised $72.7 million after pricing its deal at the top of its range.
Chemspec ADRs began trading at $9.45 on Wednesday morning in their debut, at a 5 percent premium.
The Duoyuan IPO's underwriters, led by Piper Jaffray, have the option to purchase another 750,000 ADRs. (Reporting by Phil Wahba; Editing by Lisa Von Ahn) <<<
