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IPO activity falls sharply in Q1

FORTY-NINE initial public offering projects were recorded in the first quarter, down 44 percent compared to the fourth quarter last year, said financial data provider Wind.

These IPO projects raised 37 billion yuan (US$5.86 billion) – a 62 percent drop in value from the fourth quarter last year, according to the data up to March 31.

In the first quarter, the underwriting fee by securities firms was 4.5 percent of an IPO project, down 10 percent compared to the fourth quarter of 2011.

The data showed 24 securities firms made profits on underwriting IPO projects, less than the 34 recorded in the same period last year.

Guosen Securities charged a 13.26 percent underwriting fee for the IPO of Mason Technology, the highest IPO underwriting fee this year. The IPO of LED producer Mason Technology raised 264 million yuan.



 

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