Warburg Pincus to sell up to $341 million shares in Chinese rental firm CAR: Reuters

(Reuters) — Private equity firm Warburg Pincus LLC [WP.UL] on Wednesday launched a sale of shares worth up to $341 million in CAR Inc (0699.HK), looking to benefit from a rally in the stock price of China’s largest auto rental company which has more than doubled since its stock market listing last September.

Warburg Pincus, through its Amber Gem Holdings Ltd unit, is offering 140 million shares at an indicative range of HK$18.35 to HK$18.90 each, according to a term sheet seen by Reuters.

The price is equivalent to a discount of up to 7.2 percent to Wednesday’s close.

CAR, previously known as China Auto Rental, went public in Hong Kong in September, raising $467 million to buy new vehicles to increase its fleet. Shares in the company, which is also backed by Hertz Global Holdings Inc (HTZ.N), have risen 132 percent since the listing.

China International Capital Corp (CICC), Credit Suisse (CSGN.VX) and Morgan Stanley (MS.N) were hired as joint bookrunners for the sale.