The world’s largest aluminium producer Rusal is well on its way to a successful IPO with reports coming in that it is even oversubscribed.

Sources familiar with the situation say institutional investors from various countries had confirmed their participation. The company is on a third day of a roadshow, ahead of its listing on the Hong Kong Stock Exchange later this month.

Stanislav Fomenko, deputy head of stock research for Veles Capital says the location in Asia matches with the target market of Rusal where investors are looking for longer term investment.

“As the bid book of Rusal’s upcoming IPO is oversubscribed, we can already say it’s successful. It means there is demand for all shares listed. However, the price is still unknown. But even the lowest amount is good for the company. Rusal has chosen the Hong Kong stock exchange since the company is now Asia-oriented. And this stock exchange is a better choice for a company with such controversial conditions. Investors there are more risky as it’s a stock market of developing countries. Investors considering Rusal shares are looking for long-term investment. It’s not a year or two. And over time, the company’s financial conditions are likely to change.”

The listing on the Hong Kong stock exchange will be a first for a Russian company, which is expected to have a listing price of between HK$9.10 to HK$12.50 a share.

Hong Kong billionaire Li Ka-shing has joined along with other big names like Nathaniel Rothschild and Malaysian tycoon Robert Kuok.