Hong Kong conglomerate CK Hutchison Holdings has selected UBS Group AG alongside Goldman Sachs as joint global coordinators for the initial public offering of its health and beauty retail arm A.S. Watson. The decision, reported by Bloomberg News on Friday and confirmed by sources familiar with the matter, positions UBS at the center of what could be one of Asia’s largest consumer-related listings in recent years. The IPO is expected to raise between US$4 billion and US$5 billion, with UBS’s share of underwriting and advisory fees projected at approximately US$25 million to US$35 million, depending on final deal size and allocation.

Securing a role on the A.S. Watson mandate underscores UBS’s strategy to deepen its footprint in Greater China’s equity capital markets. Over the past two years, UBS’s Asia-Pacific ECM revenues have grown by 18%, driven by a 25% increase in consumer sector mandates. Participation in the A.S. Watson transaction—whose network spans more than 15,000 stores across 27 markets—provides the bank with high-visibility deal flow and strengthens relationships with Hong Kong’s largest issuers. Investors will watch how UBS leverages this advisory appointment to capture follow-on offerings and cross-sell wealth management services to A.S. Watson’s extensive shareholder base.