Two new IPOs announced as Chinese markets rebound

Huaibei Mining and Golden Dragon Precise Copper Tube announced plans for initial public offerings in Shanghai worth a combined US$1.5 billion, indicating that market sentiment has bounced back from sluggish performance earlier this year, The Wall Street Journal reported. Huaibei Mining is looking to raise RMB6.06 billion (US$961.3 million), and Golden Dragon will aim for a RMB3.05 billion (US$555 million) offering. China’s economy grew by the slowest pace in the first quarter in three years, leading to hopes that the government will ease monetary conditions which would in turn boost equities. Separately, Hong Kong-based digital marketing company Acquity Group said it will continue with plans to launch an IPO in the US, even after China Auto Rental Holdings decided to cancel its planned US IPO on market conditions. Only one Chinese company, Vipshop Holdings (VIPS.Nasdaq), has listed in the US so far this year.