China Resources Pharmaceutical Starts Trading Following $1.8 Billion IPO

Following its $1.8 billion IPO, China Resources Pharmaceutical Group began trading on the Hong Kong exchange. In the first trading session, the stock dropped about 1% to HK$9.01 from its offering price of HK$9.10, the middle of the offering range. CR Pharma priced its IPO at a modest 14.5 times earnings. The company is part of the larger state-owned China Resources conglomerate, and it, in turn, is parent to three China-listed pharmas. CR Pharma is China's second-largest drugmaker, with extensive holdings in drug manufacturing (both western and TCM) plus its large China drug distribution operation.