China Shenhua Energy, the mainland's largest coal producer, will raise as much as 66.6 billion yuan from a domestic share sale, the biggest offering in the mainland.
Shenhua Energy's A-share deal will exceed that of China Construction Bank, which raised 58.05 billion yuan in a domestic initial public offering earlier this month.
China Shenhua yesterday said it set the price for its 1.8 billion A shares at between 34.99 yuan and 36.99 yuan each.
The range represents a 14.5 per cent to 19 per cent discount to its shares listed in Hong Kong that ended 1.59 per cent lower at HK$43.30 on Friday.
The shares had risen 135.4 per cent this year.
Mainland firms tend to price their A-share offerings lower than their H shares, a practice that has led to substantial gains in trading debuts because investors place higher valuations on stocks listed in the mainland. Shares in the mainland trade at an average 53 times earnings compared with 17 times in Hong Kong.
