Hong Kong ECM listing posts 9.3% increase in first half of 2014

IPO in stock exchange also surged.

Equity, equity-linked in Hong Kong’s stock exchanges amounted to US$22.4 billion in total proceeds so far this year, marking a 9.3% increase from the first half of 2013.

According to data from Thomson Reuters about Hong Kong ECM and bonds preliminary data for the first half of 2014, Common Stock offerings (combined IPO and Follow-on offerings) raised a total amount of US$20.0 billion, almost unchanged from US$19.8 billion during the same period last year.

However, initial public offerings in Hong Kong’s stock exchanges surged this year as IPO proceeds totaled US$10.5 billion alongside a 78.3% increase in number of new listings, and witnessed the highest first half period since 2011 (US$14.6 billion).

This Was driven by the US$3.1 billion IPO of HK Electric Investments Ltd, the largest ECM deal this year in Asia Pacific.

Here’s more from Thomson Reuters:

A flurry of Chinese companies launched Hong Kong initial public offerings and accounted for 68.4% of the IPO market share in the city’s stock market, worth at least US$7.2 billion in proceeds.

Two H-share IPO listed above US$1-billion, namely, China CNR Corp’s US$1.3 billion and Harbin Bank’s US$1.1 billion offering.

However, China pork producer WH Group cancelled its US$1.6 billion Hong Kong IPO, which would have been Hong Kong’s biggest IPO based on its targeted sale of US$5.3 billion. WH Group cut the offer size by more than half then eventually pulled its IPO due to weak demand.

The Hong Kong Stock Exchange (HKSE) captured 40.9% of this year’s initial public offerings in Asia Pacific stock exchanges with US$10.4 billion worth of proceeds, a 107.6% growth compared to first half of 2013 (US$5.0 billion). Australia followed second with 19.3% market share (US$4.9 billion).