On 2 July 2014, Dacheng senior partner Yu Xugang and partner Li Jieyu attended a ceremony celebrating the launch of Hubei Forbon Technology Co at the Stock Exchange of Shenzhen upon invitation. Yu and his team advised Forbon on the initial public offering (IPO) and GEM listing.
A total of 15,250,000 shares were issued in the initial public offering, including 12,990,000 new shares and 2,260,000 shares sold by the company’s shareholders. The offering, priced at RMB20.48 (£1.94) per share, generated RMB228,831,800 in net proceeds. With a P/E ratio of 23.01, its price increased by 43.99 per cent on the inaugural day of trading and closed at RMB29.49 per share.
Forbon is a fertiliser auxiliary provider in China. It has formed partnerships with Spain’s Kao Chemicals Europe, Holland-based NovoChem and France’s PST.
The IPO was advised by a team comprising senior partners Xugang, Xu Feichi and Wang Fang, partner Jieyu and associates Long Zhifeng, Chen Fenfen, Zhao Weichang and Kang Ping.