PRC courier set for express listing

摘要

STO Express is set to be the first major Chinese express delivery company to go public, giving investors a chance to buy into the booming logistics sector through a backdoor listing. Shanghai-based STO, one of the largest privately owned express delivery companies in China, unveiled plans for a backdoor listing last Tuesday, little more than a month after China's State Council publicly encouraged the development of the delivery industry, including through consolidations and listings. Shenzhen-listed valve-maker Zhejianc Idc Fluid Control will buy STO through an asset swap, new shares and cash. The transaction values STO at Rmbl6.9bn (US$2.64bn). As the first express parcel delivery company to list in the A-share market, STO could steal a march on its rivals in this fiercely competitive market, bankers say. A regular IPO would have taken far longer to arrange.