Two women's-fashion companies plan to start selling their shares to local investors today in an effort to raise a combined HK$3.76 billion.

Mainland-based E-Land Fashion China aims to raise up to HK$2.8 billion on the Hong Kong market by selling 496.3 million shares at between HK$3.80 and HK$5.80 each.

Aware of the jittery stock market conditions, E-Land Fashion Chief Executive Officer Oh Gi Hag says he is confident that the company's IPO will be well received by the public.

"When we set the price of our shares, we factored the market conditions into it," Oh told reporters from London via teleconference. "Compared with our peers, we believe our price is reasonable."

E-Land Fashion China forecasted that its net profits for the first half of 2008 will be at least 133 million yuan.

The company currently runs seven brands and has 1,084 outlets throughout the mainland. It plans to open an additional 1,200 locations in the next two years, as Oh said that E-Land will continue to use department stores as its major distribution channel.

The subscription period for E-Land shares will end at noon Wednesday. The trading debut is set for May 16.

Fashion accessories manufacturer Artini China plans to issue 280 million shares at between HK$2.22 and HK$3.43 each in a bid to raise between HK$621 million and HK$960 million.

Company Chairman Eric Tse told reporters yesterday that about HK$250 million of the proceeds will be used to expand its retail network if the firm can raise HK$633 million.

Tse said that the company intends to double its retail-sales network, from 138 now to 256 sales points in early 2009. Most of the new shops will be located in second-tier mainland cities.

Its 2007-08 fiscal year net profits, ending March 31, are expected to be at least HK$110 million - a 50 percent year-on-year increase. Tse attributed the robust growth to the rapid expansion of Artini's retail network.

Subscription for the retail offer will end Wednesday. The shares will be traded on May 16.

(HK Edition 05/02/2008 page4)