The IPO of American Depositary Shares is now expected to price between $13 and $15 per ADS, up from $11 and $13 per ADS as previously estimated.

A group of selling shareholders also raised the number of ADS they plan to offer to 2.1 million from about 2 million, bringing the total offering to about 11.8 million ADS. Each ADS represents 20 ordinary shares, according to the filing with the Securities and Exchange Commission.

CNinsure has also granted underwriters the option to buy up to an additional 1.8 million ADS to cover any overallotments.

Assuming an offering price of $14 per ADS, CNinsure expects proceeds of about $119.6 million, or $144.3 million if the underwriters exercise their overallotment option in full.

CNinsure plans to use proceeds from the offering to fund acquisitions and establish joint ventures in an effort to enter new regional markets and expand its products and services. The company also plans to upgrade its information technology infrastructure, expand its call centers, establish Internet-based sales operations and for working capital.

CNinsure distributes insurance products underwritten by domestic and foreign insurance companies operating in China, and provides certain insurance-related services such as damage assessment from 170 locations in eight provinces throughout the country. The company began by offering auto insurance products and eventually expanded its offerings to include other property and casualty insurance products. In January 2006, the company began offering individual life insurance products.

For the six months ended June 30, the company reported income of $7.7 million on revenue of $22.7 million.

Morgan Stanley is serving as the lead manager of the offering. William Blair & Co., Fox-Pitt Kelton Cochran Caronia Waller and Piper Jaffray are also serving as underwriters.

The company has received approval to list its ADS on the Nasdaq Global Market under the symbol "CISG."

CNinsure's ADS are expected to begin trading later this week.