Freshfields Bruckhaus Deringer has advised TOM Online on its spin-off from its Hong Kong parent and its HK$1.5bn (US$192.5m) IPO and dual listing on NASDAQ and the GEM.

Partner Teresa Ko led the Freshfields Bruckhaus Deringer team acting as Hong Kong counsel to TOM Online, whose shares began trading in Hong Kong on 11 March.

The international and US tranches of the IPO, which were significantly over-subscribed, initially made up 90% of the total shares offered under the IPO, with the remainder of the shares being offered to the public in Hong Kong. But high demand in Hong Kong led to a reallocation of a further 10% from the international and US tranches to the Hong Kong public offer, resulting in 20% of the IPO being taken up by Hong Kong retail investors.

The Hong Kong public offer, which was priced at the top of the price range in its prospectus, was over-subscribed by more than 94 times.

Ko described the transaction as "complex" and added: "The spin-off will provide investors with an opportunity to value TOM Online as a pure internet company."

Total net proceeds of the IPO were approximately US$170m and are intended for wireless VAS content and applications expansion, research and development, sales and marketing, and potential acquisitions.

TOM Online is a leading internet company in China which provides wireless value-added multi-media products and services, including wireless value-added services (VAS), online advertising and commercial enterprise solutions.

Following the spin-off, TOM Online remains an approximately 70% subsidiary of Hong Kong listed parent TOM Group (formerly TOM.COM). Going forward, TOM Group will continue to focus on its publishing (print media), outdoor media and sports and entertainment businesses.