Chinese TMT (technology, media & telecommunications) enterprises remained relatively active in the capital market in the first half of 2022 as driven by the domestic STAR and ChiNext markets, said Alex Chan, PwC China TMT Industry Partner.
According to the data recently released by PwC, the number of IPOs by Chinese mainland TMT enterprises declined slightly over the first half of the year. The total amount of financing increased to RMB 160.4 billion with China Mobile Ltd’s domestic listing on the main board as the single largest TMT industry IPO for the first half of the year in Chinese mainland.
Meanwhile, the domestic capital market remained the preferred option for Chinese mainland TMT IPOs, with 41 IPOs in the technology hardware and equipment industry and accounting for 60 percent of all TMT IPOs. The software and service industry saw 26 listings.
As for ChiNext, since the listing of the first batch of companies under the ChiNext registration system on 24 August 2020, a total of 330 companies have been listed on ChiNext, with a total financing amount of RMB 300.7 billion and an average financing amount of RMB 911 million.
With the support of a number of policies to stimulate economic growth, as well as improvements to the registration system, the domestic capital market is expected to continue to grow despite pressure to become a highlight in the global market, said Wilson Chow, PwC Global TMT Industry leader.
Author | Paprika
Editor | Wing, Steven, Will, Jerry
