Securities Underwriting

Securities underwriting is the most fundamental and core business activity for Pulun International as an international investment bank. Pulun International Securities, a licensed institution within the group, accepts the entrustment of securities issuers to sell the securities that are planned to be issued to investors within the legal or agreed timeframe, utilizing Pulun International's good reputation and sales channels. Pulun International Securities plays a key intermediary role in the securities underwriting business, helping securities issuers to successfully achieve the primary goal of securities issuance, thereby completing the predetermined fundraising plan.

Pulun International Securities is based in Hong Kong, connecting to global resources, and provides comprehensive support for the securities issuance and underwriting of enterprises in mainland China.


Business Details

Securities Types

Customized Issuance Strategy

Market Pricing and Marketing

Risk Management

Pulun International Securities offers underwriting services for various types of bonds, including but not limited to corporate bonds, government bonds, institutional bonds, convertible bonds, and exchangeable bonds. Tailoring to the needs of different issuers, Pulun International Securities is capable of providing customized bond underwriting solutions.

Pulun International Securities assists issuers in formulating appropriate issuance strategies, including the type of bonds, the scale of issuance, the timing of issuance, and pricing strategies. Through in-depth market analysis and research on investor needs, Pulun International Securities ensures the feasibility of the issuance strategy.

Pulun International Securities assists issuers in setting a reasonable price for the planned issuance of bonds based on the conditions of the bond market, the characteristics of the bonds, and the needs of investors. Additionally, the investment banking division will promote and market the bonds through investor roadshows, media promotion, telephone conferences, and other means, introducing the features and investment value of the planned bonds to potential investors.

Risk management is a critical component of bond underwriting. While ensuring the smooth issuance of bonds, Pulun International Securities also takes comprehensive management measures to minimize potential risks as much as possible. These risks include market risk, credit risk, liquidity risk, legal risk, political risk, and public sentiment risk. Pulun International Securities considers all aspects from tracking analysis, credit assessment, legal compliance to liquidity management to ensure the successful issuance of bonds and to protect the interests of investors.





Underwriting and Distribution

Legal and Compliance Support

Investor Relations Management

Post-Issuance Support and Advice

As an underwriter or lead underwriter, Prudential distributes bonds to various investors based on market demand and investor types, ensuring successful bond sales.

Pulun International Securities assists issuers in preparing issuance documents and legal contracts, ensuring that the underwriting process complies with the legal and regulatory requirements of Hong Kong and international financial supervision. This is done to mitigate legal and compliance risks, ensuring a smooth and legally sound underwriting process.

After the successful issuance of bonds, Pulun International Securities will assist issuers in managing investor relations, answering investor inquiries, and providing services related to the disclosure of information about the bonds. This ongoing engagement helps to build and maintain trust and transparency with investors, which is essential for the long-term success of the issuer in the capital markets.

Pulun International Securities provides post-issuance support and advice to issuers, including market trend analysis, bond maintenance, and refinancing suggestions. This helps to optimize the market performance of the bonds, ensuring that the issuers can effectively manage their debt obligations and maintain a strong presence in the capital markets.

Equity Underwriting

Pulun International Securities will gain a deep understanding of the financing needs of its clients, providing comprehensive and customized equity underwriting services and support for financing enterprises. This helps mainland Chinese companies successfully achieve cross-border financing while also offering international investors the opportunity to participate in the economic growth of mainland China. In doing so, Pulun International Securities promotes the internationalization of the Hong Kong financial market through cross-border cooperation and supports the globalization of mainland Chinese enterprises.

IPO Strategy Formulation

Pulun International Securities assists enterprises in developing an IPO strategy that encompasses key decision-making elements such as the size of the offering, stock pricing, and the method of distribution. This is done to meet the company's equity financing needs and to adapt to market conditions.

Market Analysis and Pricing Strategy

Pulun International Securities conducts in-depth analysis of market conditions, industry trends, and investor sentiment to assist enterprises in setting a reasonable stock price, ensuring a successful issuance.

Marketing and Promotion

Pulun International Securities utilizes a variety of methods, including investor roadshows, investor meetings, media promotion, and in-person visits, to convey the company's value and growth prospects to potential investors. These efforts are part of a comprehensive global marketing and promotional strategy to prepare for the company's successful Initial Public Offering (IPO).

Underwriting and Distribution

As an underwriter, Pulun International Securities will combine market demand and investor profiles to distribute and price the shares, ensuring the successful sale of the stock. This process involves a strategic approach to match the right investors with the right offerings, facilitating an efficient and effective issuance process.

Risk Management and Legal Compliance

Risk management and legal compliance are crucial aspects of the IPO process. Pulun International Securities will assist companies in developing risk management strategies and ensure strict compliance requirements at every stage of the securities issuance. This ensures that issuance process meets the legal and regulatory requirements of the Hong Kong financial regulatory authorities.

Investor Relations Management

After a company's successful Initial Public Offering (IPO), the securities firm will assist the company in establishing and maintaining relationships with investors as needed, answering investor inquiries, and providing information about the company's financial status, strategic planning, and other relevant aspects. This ongoing engagement is essential for building trust and ensuring transparency, which is critical for the company's long-term success in the capital markets.

Post-IPO Support and Advice

Pulun International Securities will assist companies in managing and operating investor relations, maintaining corporate market reputation, and providing professional guidance and advice for future financing activities.


Underwriting Methods


Pulun International Securities' underwriting methods include four types: firm commitment, best efforts, auction bidding, and assisted promotion.


Underwriting Commitment

Underwriting commitment is divided into two types: firm commitment and best efforts. Firm commitment involves Pulun International Securities and its consortium members agreeing to purchase all the securities issued at an agreed price, and then selling these securities to investors. On the other hand, best efforts involves Pulun International Securities and its consortium members selling securities for the issuer within a specified time. If Pulun International Securities and its consortium members fail to sell the agreed number of securities within the stipulated time, they will purchase the remaining securities at the agreed price.


Tender Offer

A tender offer refers to the process during the issuance of new shares (IPO) or bonds and other securities, where various investment banks or securities firms submit their bids to the issuer (usually a company or government agency) to compete for the right to underwrite the securities. This process is also known as underwriting bidding. Pulun International Securities participates in the bidding to purchase securities and then sells them to investors. This business typically involves securities with high creditworthiness and is popular among investors, such as government bonds.


Agency Sale

Agency sale involves Pulun International Securities accepting a commission from the issuer to act on their behalf in selling securities. If, within the planned time limit, not all of the securities are sold, Pulun International Securities will return the unsold portion to the securities issuer.


Assisted Promotion

When a company is issuing additional shares to increase its capital, the primary target is its existing shareholders. However, it cannot guarantee that all current shareholders will subscribe to its securities. To prevent difficulties in raising the required funds in a timely manner, and to avoid causing a decline in the company's stock price, Pulun International Securities accepts the company's commission to handle the issuance of new shares to current shareholders. This ensures a smoother capital increase process and helps maintain stability in the company's stock price.

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Phone:+852-37068998

Email:pulun@pulun.com.hk

Address:12F,Woon Lee Commercial Building,7-9 Austin Avenue, Tsim Sha Tsui, Hong Kong

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