The IPO Market In Hongkong Will Face Further Challenges In The Coming Weeks.

Ordinary public investors are increasingly estranged from the initial public offerings (IPO) of the Hongkong stock market.

At the same time, a large proportion of stocks in IPO of Hongkong stock market have entered the cornerstone investors who promise to subscribe shares in advance.

This year, the Chinese government owns the stock market in Hongkong.

It has dominated the issue and subscription.

This year, the total IPO scale of Hongkong's stock market exceeds US $1 billion is US $19 billion 300 million, of which state-owned enterprises account for 77%, while state-owned enterprises account for 62% of cornerstone investors.

This year, the total IPO financing in Hongkong stock market is 26 billion 400 million US dollars, the highest in the same period since 2010.

The IPO market in Hongkong will face further challenges in the coming weeks.

According to people familiar with the matter, the company headed by Limited by Share Ltd, a state-owned power plant construction company, plans to issue more than 6 billion U.S. dollars by the end of the year.

In the big IPO of the Hongkong stock market this year, the amount invested by cornerstone investors has reached an unprecedented $9 billion 100 million, which has broken the historical record for two times.

China's first largest non-performing loan management company, China China [0.00%] Asset Management Co., Ltd. last month, 2 billion 300 million of IPO's share of 70% of the shares was allocated to cornerstone investors, accounting for the highest in Hongkong IPO over the past ten years of over 1 billion US dollars.

A large part of this trend is attributed to state-owned enterprises in the mainland of China.

In order to ensure the success of the listing, they strive to win the participation of other state-owned enterprises in their Hongkong IPO.

Although Hongkong's IPO funding quota will steadily hit a new high in 2010, critics point out that a large share of cornerstone investors shows weak investor demand and risks of market discipline.

"Their

There is a lack of diversity in the foundation, "says Lin Chang Nian, chief executive officer of Hongkong East Asia Securities Company.

"These mainland companies are trying to attract as many cornerstone investors as possible because they are not confident" that they can be successfully issued without a cornerstone investor.

People who asked for anonymity on the grounds of anonymity were waiting.

The company includes three mainland banks - Bank of Jinzhou, Qingdao bank and Zhengzhou bank. Each bank plans to raise over $500 million.

In view of the fact that more than 30 mainland financial institutions have been listed in Hongkong, and nearly half of the shares are below the published net asset figures, the banks must try their best to win the attention of investors.

Representatives of Bank of Jinzhou, Qingdao bank, Zhengzhou bank and China energy construction declined to comment on the IPO plan.