From Global Times: 2024-06-23 08:53:00

China’s A-share stock exchanges have resumed IPO applications after a six-month break, boosting investor confidence. New policies aim to enhance regulation, tackle risks, and promote market quality. Analysts predict 115-155 new listings in 2024, raising around 139-166 billion yuan. Companies eyeing IPOs are urged to prioritize quality over quantity.

The resumption signifies normalcy returning to the IPO process, encouraging a healthy cycle in the capital market. The current slowdown is due to regulations favoring quality listings, aiming to enhance investor trust. Analysts are optimistic about long-term growth, with sci-tech firms leading the way in IPO priorities.

Some A-share IPOs are opting for the Hong Kong market due to encouraging measures from the CSRC. Hong Kong saw a 33% rise in IPOs and a 52% increase in capital raised in Q2 2024. Positive trends in the market are expected to continue in the second half of the year, boosting IPO activity.

Analysts and financial institutions foresee strong long-term investment opportunities in China’s capital market. Economic recovery policies and ongoing market reforms are expected to drive growth. With stability in market regulations and positive outlooks for future listings, investor confidence is on the rise.



Read more at Global Times: China’s A-share stock exchanges resume IPO application acceptance; will bolster investor confidence, market growth