The China Securities Regulatory Commission (CSRC) approved the A-share IPO of Xinjiang Xintai Natural Gas Company Limited (“XXNG”, the “Company”), which was represented by JunHe, through “CSRC Approval  No. 1884”- the Official Reply for Approval of the IPO of Xinjiang Xintai Natural Gas Company Limited.. XXNG (Transaction Code: 603393) was listed on the Shanghai Stock Exchange on September 12, 2016.
XXNG is a leading enterprise in the Xinjiang municipal gas industry, and is mainly engaged in the urban gas distribution and sales business, with its business operation area covering seven municipalities (districts and counties) including the Midong District in Urumqi Municipality, Fukang City, Wujiaqu City, Kuche County, Yanqi County, Bohu County and Heshuo County in Xinjiang. The infrastructure projects built by XXNG, and Xinjiang’s “Blue Sky Project” plan assisted by the people’s livelihood project, have steadily supplied clean energy to more than 300,000 users.
XXNG issued 40,000,000 shares this time by ways of combining off-market allotment through price inquiry to investors with online offering for subscription at set price according to the market value. Finally, 4,000,000 shares were allotted off-market to investors, and 36,000,000 shares were issued online to the social public investors. The issue price was RMB 26.66/share, and the total amount of capital raised was RMB 1.066 billion. After deduction of the issuance cost, the net amount of capital raised was RMB 1.022 billion.
JunHe, as the legal advisor of the issuer, provided legal advisory services for XXNG from August 2012, assisted the Company to complete the introduction of finance investors and put in place the core employee equity incentive. It was involved in the restructuring and establishment of the joint stock company, and designed the issue and listing plan; meanwhile, it also helped the Company to complete the change from a private enterprise to a listing company in many aspects, and made great contributions to the successful listing of the Company. JunHe was fully appreciated and trusted by the client and the other intermediary institutions.