Chinese firms raised US$88.52 billion through initial public
offerings (IPOs) in the first 11 months, almost double last year's
level, Zero2IPO Group said yesterday in Shanghai.
The home IPO proceeds surpassed the overseas-listed for the
first time in recent years because of the completed share structure
reform and the relaunch of domestic IPOs, industry insiders said
during the China Venture Capital Annual Forum 2007, which opened
yesterday in Shanghai.
From January to November, 98 firms, including giants such as
Petro China and China Construction Bank, became listed in the
domestic stock markets and raised US$54.31 billion.
Meanwhile, 105 firms, such as SOHO and Alibaba.com, issued IPOs
in the overseas markets to raise a combined US$34.21 billion,
according to Zero2IPO, a Beijing-based venture capital and private
equity consulting firm.
China relauched the IPO in May, 2006, after one-year halt for
the share structure reform.
"The giants flood into or come back to the domestic market and
the booming RMB fund will ensure the trend continues," said Gavin
Ni, Zero2IPO's founder, president and chief executive. The RMB
fund, which accounted for less than 20 percent of total investment
funds in China, won't dominate the market within five years though
it will grow rapidly, according to Ni.
Several dozen government-backed funds, which are established to
support local pillar industries, will also boost domestic listings,
said Jin Haitao, chairman of Shenzhen Capital Group Co.
He said the NASDAQ-like market for high-tech firms is expected
to debut in Shenzhen next year, which will attract more small
firms.
Hong Kong was still the top choice for overseas listing, which
accounted for 78 percent of the volume of overseas IPOs. The
orientation IPO market has diversified and Chinese firms have been
listed in London, Japan and South Korea, according to Zero2IPO.
(Shanghai Daily December 7, 2007)
