China announces preliminary IPO list

BEIJING -- China's securities regulator unveiled a short list of companies applying for listing in the small hours of Saturday, signaling a restart of the initial public offering review that has been suspended for over a year.

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A total of 28 companies appeared on the list, 16 for the main board of Shanghai Stock Exchange, 4 for small and medium-sized enterprises board in Shenzhen and 8 for the ChiNext Board, data from China Securities Regulatory Commission showed.

The move, the first preliminary information disclosure from the pre-listed companies since October, 2012, indicated the authorities are likely to resume the IPOs soon.

However, the list may not necessarily grant the companies access to the capital market, as the applications were still subject to approval of the CSRC.

A spokesperson from the CSRC said on Friday the commission has streamlined the process of IPO review, especially the information disclosure which was moved up to before the primary review. The adjustment aims to improve the transparency, dubbed as part of the efforts to intensify regulation.

As of Thursday, altogether 606 companies were waiting for listing on the country's two bourses, data from the CSRC said.

The stock market is expected to react strongly on the next trading day as the IPO restart may increase the financing pressure on the country's A share market.

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