BEIJING, Dec. 1 (Xinhua) -- China's A-share initial public offerings (IPO) mounted up to a nearly 10-year high at over 420 billion yuan from January to November of this year, reported Xinhua Finance, a Xinhua-run financial information platform Tuesday.
The figure which pointed to a cheerful year for the A-share market was contributed by 342 IPO issuers by Monday, raising in total 423.872 billion yuan of capital, a new high since 2010.
Benefiting from wider pilots for registration-based IPOs on certain boards, IPO passing rate on Chinese securities watchdog's IPO examination meetings rose to 94.78 percent from 88.49 percent in the first 11 months of 2019.
In spite of the overall value expansion, different IPO issuers encountered explicitly diverged financing outcomes. In November, 17 A-share IPO issuers each financed less than one billion yuan and three another reported financing of one to two billion yuan, let alone another issuer funding more than 10 billion yuan by its IPO.
Exuberant over the feverish primary market, China's secondary stock market remained generally stable. In November, registration-based IPO issuers mostly saw their stock prices spike on the first trading days.
Sun Jinju, head of research institute of Kaiyuan Securities said China's capital market reform delivered fruitful achievements this year, resulting in notably improved IPO efficiency and registration-based IPO bringing about institutional dividends in stagging. In the past months of 2020, stagging by funds firms produced more than 40 percent rate of returns on average.
In the coming 2021, Sun expected financing of IPOs to remain at relatively high levels, accompanied also by foreseeable dividends from stagging. (Edited by Duan Jing with Xinhua Silk Road, duanjing@xinhua.org)
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