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China's IPO market heats up in 2016

Xinhua, December 25, 2016 Adjust font size:

China's IPO market did better in 2016 as the regulator accelerated approvals in the latter half of the year.

According to the official Securities Times, 12 companies are expected to go public on the A-share market next week, bringing the number of new listings to 245 in 2016.

This will be the 3rd biggest year on the A-share market in terms of company numbers, behind the 347 listings in 2010 and 277 in 2011.

In 2015, 219 companies raised 159 billion yuan (23 billion U.S. dollars) through IPOs on the Chinese mainland despite market volatility over the summer that put offerings on hold.

Under the current IPO system, new shares are subject to approval from the China Securities Regulatory Commission, which controls both the timing and price.

China is working on an IPO approval system based on registration that will allow bourses to take over IPO approval and clear the backlog of companies waiting. Endi