Latest RMB loans/equity news
Industrial & Commercial Bank of China’s London-based head of global loan syndication will be moving to the Asian Infrastructure Investment Bank in Beijing.
After creating three billionaires and causing an unprecedented 400% share price rise for one company at the end of the first trading day, Shanghai’s new technology board saw $1bn wiped out on Tuesday. As the feverish excitement among investors cools down, longer-term concerns around China’s IPO markets have emerged, writes Rebecca Feng.
The first 25 companies that started trading on the new Shanghai tech board on Monday skyrocketed, as Chinese investors welcomed the Nasdaq-style equity market with frenzied trading. As the excitement cooled on Tuesday, the bourse’s performance shows that regulators must not just focus on market reform, but also on market participants.
The week in renminbi: Star opens for trading, financial regulators mull more open-up, China makes large purchase of US sorghum
In this round-up, the Shanghai Star market officially opened on Monday morning, the People’s Bank of China, the China Securities Regulatory Commission and the China Banking and Insurance Regulatory Commission formally announced 11 market reform measures, and the Mainland made the largest sorghum purchase from the US since last April.
The Shanghai Stock Exchange (SSE) has pledged to host at least 25 companies on the Star board by July 22, when it opens for trading. That tight deadline caused nine companies to open books on the same day this week.
Beijing-based PapayaMobile, a mobile advertising company, this week became the first candidate to back out of its application to list on the Star market. The Shanghai Stock Exchange (SSE) questioned the level of advancement of the firm’s core technologies and its accuracy of disclosure.
China policy round-up: MoF, CSRC give SFC access to mainland firms’ audit papers, Chinese premier promises to scrap foreign ownership ahead of schedule, FTZs to enjoy greater policy-setting freedom
In this round-up, Chinese securities regulators allow their Hong Kong counterpart to access audit papers of Hong Kong-listed mainland companies, Chinese premier Li Keqiang vowed to lift the 51% foreign ownership cap on Chinese financial firms sooner than planned, and free-trade zones (FTZs) receive more autonomy in trying out new policies.
The first four companies to complete IPOs on the new technology board in Shanghai were flooded with phenomenal retail demand of as much as 2,500 times, despite the issuers’ lofty valuations. But an imminent increase in supply could calm the frenzy, writes Rebecca Feng.
The Shanghai Stock Exchange (SSE) has published guidelines for IPOs on its new technology board, providing a detailed timeline for the process and the eventual listing of the shares.
Shanghai’s new high-tech board is set to welcome its maiden IPO after Suzhou HYC Technology Co kicks off its roadshow on Friday. The company will be the first Chinese issuer to use a market-driven price discovery process for its Rmb1.01bn ($145m) float, but bankers on the mainland have little doubt the deal will be a success. Rebecca Feng reports.
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Latest news by market and league table performance
GlobalRMB Panda Bonds league table
|Rank||Arranger||Share % by Volume|
|1||Bank of China (BOC)||19.93|
|2||Industrial and Commercial Bank of China (ICBC)||13.40|
|3||China Merchants Securities Co||12.94|
|4||Agricultural Bank of China (ABC)||7.84|
Panda Bond Database
|Pricing Date||Issuer||Country||Size Rmb (m)|
|2||31-Jul-19||Cassa Depositi e Prestiti SpA||Italy||1,000|
|3||24-Jul-19||Semiconductor Manufacturing International Corp (SMIC)||China||2,000|
|4||10-Jul-19||BMW Finance N.V.||Germany||3,500|
Offshore RMB Bond Top Bookrunners
|Rank||Bookrunner||Share % by Volume|
|1||Standard Chartered Bank||32.50|
|4||Bank of China (Hong Kong) (BOCHK)||6.22|
|4||Bank of Communications Hong Kong Branch (BOCOM HK)||6.22|
Latest Offshore RMB Bonds
|Pricing Date||Issuer||Country||Size Rmb (m)|
|2||22-May-19||Agricultural Development Bank of China (ADBC)||China||3,000|
|3||16-Apr-19||ICBC Singapore Branch||China||1,000|
|4||10-Apr-19||Bank of China Macau Branch (BOC Macau)||China||4,500|
|5||15-Mar-19||Bank of Communications Hong Kong Branch (BOCOM HK)||China||2,500|