China Tourism Group Duty Free Corp, the world’s largest travel retailer, has received permission from the Hong Kong stock exchange to proceed with a share sale in Asia’s financial hub, according to people familiar with the matter.

The offering by the state-owned operator of duty-free businesses across China, Hong Kong, Macau and some Southeast Asian cities could raise about $5 billion, one of the people said, asking not to be identified as the information is private. 

The company’s Shanghai shares fell as much as 1.9% on Wednesday. The Beijing-based firm’s stock has slumped about 40% from its Feb. 10 record, giving it a market value of about US$71 billion.

IFR first reported the outcome of the hearing. A representative for CTG Duty Free declined to comment, while a spokesperson for Hong Kong Exchanges & Clearing Ltd. said they can’t comment on individual companies.

At US$5 billion, the IPO would be this year’s second biggest in Hong Kong, after Chinese short-video company Kuaishou Technology’s initial public offering which raised $6.2 billion in the first quarter, according to data compiled by Bloomberg.

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Founded in 1984, China Tourism Group Duty Free has established over 240 retail stores in China and abroad, according to its website. It filed an overseas listing application with the China Securities Regulatory Commission in June and got the regulator’s approval last week. 

China International Capital Corp. and UBS Group AG are the joint sponsors of the Hong Kong listing, according to a preliminary prospectus.