China Datang Renewable Power (1798.HK) fell on its listing debut in Hong Kong Friday, closing down 6% at HK$2.19 (US$0.28), Bloomberg reported. The Hang Seng Index gained 0.2% on the same day. Datang Renewable is the country’s second-largest wind-power producer but investors are concerned about overcapacity and lack of grid connections. Analysts say that China may leave as much as 4 gigawatts of wind-power generation capacity unused due to a lack of grid infrastructure. Other wind power companies have also seen their share prices lose ground this year. China Longyuan Power Group (0916.HK), the country’s largest listed power producer by capacity, is down 30% in Hong Kong this year, against an overall 3.9% gain in the Hang Seng Index. Xinjiang Science & Technology (2208.HK) is down 15% since it began trading on October 8. Huaneng Power International (HNP.NYSE, 600011.SH, 0902.HK) subsidiary Huaneng Renewables canceled its US$1.3 billion Hong Kong IPO on December 13, citing excessive market volatility.
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