(Xinhua)
Updated: 2007-10-27 14:13

China Quanjude (Group) Co Ltd, a famous Peking roast duck restaurant chain, kicked off its initial public offering (IPO) on Friday.

According to its public notice, the company plans to issue up to 36 million shares on the Shenzhen Stock Exchange and the preliminary IPO price inquiry will start on October 29 and end on October 31.

Quanjude plans to raise at least 380 million yuan. Of the total, 217.96 million yuan will be used to remodel two chain restaurants and set up five chain stores and one hotel.

The company will use the rest of the capital to upgrade its food production bases and logistic centers, according to the notice.

Offline offering on November 2 and November 5 will account for up to 20 percent of the IPO while online offering will kick off on November 5.

State-controlled companies hold 69.45 percent stake of Quanjude, of which Beijing Capital Tourism Group holds a 65.47 percent stake.

The company has nine outlets and 61 franchised outlets, including five abroad. The brand of Quanjude dates back to 1864 during the Qing Dynasty (1644-1911).

It posted net profits of 25.62 million yuan in the first quarter of 2007 and 56.66 million yuan totally in 2006.