IPOs drop in first six months

The number of IPOs of Chinese companies at home and abroad dropped in the first half of 2012, a Zero2IPO report said on June 29.

In the first half of 2012, 128 Chinese companies launched initial public offerings at home and abroad and raised $14.6 billion, the report said.

Due to the weak global economic conditions, only 24 Chinese companies went public overseas, down almost 50 percent year-on-year. Their financing amount was $2.98 billion, a 65.1 percent decline compared with the same period in 2011.

As China’s economy slowed and the Chinese Securities Regulatory Commission launched a series of regulations on new stock issuance, domestic IPOs were also lackluster. Only 104 companies launched IPOs in Chinese mainland stock exchanges in the first half of this year, while the number in the same period last year was 167. Financing amounts decreased 56.2 percent year-on-year to $11.6 billion.

The machinery manufacturing sector topped the table of financing amounts domestically with 19 companies raising $2 billion, followed by construction and engineering with $1.27 billion, and the electronics and optoelectronics sector with $1.16 billion.

According to the report, 229 companies globally got listed in the first six months of the year, down 32.4 percent year-on-year, and their whole financing amount was $44.1 billion, down 51 percent compared with the same period last year.

caixiao@chinadaily.com.cn