Harbin Brewery Group, the fourth largest beer producer in China, is planning an initial public offering thought to be worth between HK$200m to HK$300m ($25.6m-$38.5m) on the Hong Kong stock exchange.

Based in the northeastern Chinese province of Heilongjiang, Harbin is reported to have appointed British investment bank Cazenove as the book runner, with First Shanghai Capital thought to be the listing sponsor.

Harbin Brewery reported net profits of HK$81.4m in 2001 and HK$85m the previous year. It acquired several unprofitable breweries in 2001 boosting turnover to HK$837m from HK$581m in 2000. It derives most of its revenue from the Heilongjiang region with Harbin its principal brand.