Chinese dairy firm Liaoning Huishan Holdings is planning to raise$800m to$1bn through an initial public offering.
It has invited banks to submit proposals to handle the IPO on the Hong Kong Stock Exchange by 6 October,Wall Street reported,citing people with direct knowledge of the matter.
This move comes when the dairy industry in China is struggling to re-establish its image after a series of tainted milk scandal since 2008.Liaoning Huishan Holdings expects to list on the Hong Kong stock exchange next year,possibly by the second half.
Last year,the company received an investment of$290m from several investors,including Hong Kong tycoon Cheng Yu-tung.
In order to allay fears,Liaoning Huishan plans to import heifers from Australia and grass from California,the report said.The dairy firm intends to raise its herd size to about 400,000,which is likely to take annual milk production to two million tons.
