China was the world’s most active market for initial public offerings (IPOs) in the first half of the year, accounting for almost half of global fundraising, as Beijing unleashed capital market reforms which made it easier for companies to sell new shares, reports the South China Morning Post. Chinese companies raised a combined $31.3 billion from IPO flotations on the Shanghai, Shenzhen and Beijing exchanges in the six months to June, in a global total of $67.9 billion, Bloomberg data showed.
While trading in China’s stock markets has largely been sluggish this year due to a faltering growth outlook, investors were more welcoming to companies raising funds, in particular those from the recently popular artificial intelligence (AI) sector.
In February, Beijing overhauled its IPO regulations requiring exchanges to implement stricter information disclosure standards while also removing administrative caps on prices of new shares to be sold to the public.
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