Reuters has reported that Shaanxi Coal Industry Co. Ltd has raised US$ 661 million in the largest listing in mainland China since authorities ended a 14-month freeze on the IPO market late in 2013.
China’s stock market watchdog said last week it would police IPO pricing behaviour, amid concerns about a return to overpricing. This move has hit company’s fund raising hopes.
Shaanxi Coal scaled back its fund raising by about 60% from a target set this month, which in turn had been cut from 2011 levels, before China suspended the IPO market to carry out reforms.
Following the listing, the company will become China’s third-largest listed coal miner by volume. Shaanxi Coal said in a statement that it sold 1 billion shares at 4 yuan each. Shaanxi Coal will now trade under the Reuters Instrument Code. China Securities, CICC and BOC International are the underwriters for the IPO.
Edited from various sources by Sam Dodson