Nine companies set prices for their listings on China's Nasdaq-style tech board
Nine Chinese companies, among the first to list on China's Nasdaq-style tech board, announced prices of their new share offer on Tuesday, as investors braced for a busy week for initial public offerings (IPOs).
The board's official title is Shanghai Stock Exchange's (SSE) Star Market.
China's securities regulator has given the go-ahead for 25 companies to list on Shanghai's technology and innovation board, the Star Market, and the first batch of companies will start trading on July 22.
Four tech board companies have already completed their offerings, while 21 firms are taking subscriptions from investors this week.
Nine companies, including China Railway Signal & Communications Corp (CRSC), Advanced Micro-Fabrication Equipment Inc (AMEC) and Ningbo Ronbay New Energy Technology Co, disclosed their IPO price via exchange statements on Tuesday, and will take subscriptions from investors on Wednesday.
Valuations, measured by earning multiples, vary.
Semiconductor firm AMEC priced its new offering at 29.01 yuan per share, or 170.8 times its 2018 earnings, excluding extraordinary items.
In contrast, China Railway Signal & Communication priced its offering at 5.85 yuan (0.8502 U.S. dollars) per share, or 18.18 times its 2018 earnings, the lowest multiples of the nine firms. Its Hong Kong-traded shares closed at 6.05 Hong Kong dollars (0.7757 U.S. dollars) on Monday.