Sunshine Oilsands, a Canadian company backed by Chinese state-owned enterprises, has shunned Toronto and will next month launch an initial public offering in Hong Kong that could raise as much as $600m.
The company plans to sell a 25-per-cent stake in the offering, according to people close to the deal, with the shares due to start trading by the end of February. It would be the biggest IPO so far this year anywhere in the world, according to Dealogic.
http://www.theglobeandmail.com/report-on-business/international-news/canadas-sunshine-oilsands-heads-for-hong-kong-ipo/article2319356/
CEO John Zachary, from Viking then Harvest Energy (was an old trading favorite of mine), is now heading up this oilsands company.
I am curious as to why Zachary and the BOD decided to take this IPO to Hong Kong, at first review the evaluation seems high or do investors on the TSX evaluate these oilsand plays too low.
I would appreciate any opinion on the evaluation of Sunshine or comparisons to the value of Connacher.
Sellhi
