About 130 initial public offerings are expected to raise a total of HK$300 billion (US$38.7 billion) in Hong Kong this year, the Hong Kong Economic Journal reported Tuesday, citing estimates from PricewaterhouseCoopers.
That would be 15 percent more than the HK$261.3 billion raised by 138 new listings last year, both figures being records for the city, which regained its No. 1 position among world stock markets in IPO funds raised.
PwC assurance partner Benson Wong said he expects seven or eight of the companies listing this year to try to raise over HK$10 billion each and more than 10 others to seek HK$5 billion to HK$10 billion each.
Investors are likely to regain their confidence in the market in the second quarter of this year, with an increasingly buoyant IPO market, Wong said.
Meanwhile, about 30 companies are expected to float on the Growth Enterprise Market this year, as the process for GEM-listed firms to transfer later to the main board has been simplified.
The average amount of funds raised on the GEM board is projected at HK$100 million, more than last year’s HK$80 million.
PwC expects 400 companies to be listed on Chinese stock markets this year — 180 in Shanghai and 220 in Shenzhen – raising a total of between 250 billion yuan (US$38.3 billion) and 300 billion yuan.
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