China’s securities watchdog will start reviewing applications for initial public offerings today after a two-month break, in the hope that the country’s stock market will gain momentum after the National Day holiday.
However, market participants expect the flow of IPOs to remain subdued. Despite a number of measures designed to shore up confidence, fundamental issues remain.
The first two companies to come before the China Securities Regulatory Commission CSRC will be Chongqing Gas and Shenzhen Suntak Circuit Technology. They are the first IPOs to be considered since July 31.
The authorities had hoped that shutting off the IPO pipeline would help stabilise...