Industrial Bank, Minsheng to cut reserve ratio

    CHINA’S central bank has extended a reserve requirement cut to Industrial Bank Co. and China Minsheng Banking Corp. as officials try to support economic growth without unleashing broader stimulus.

    The People’s Bank of China approved a half percentage-point cut for Industrial Bank and Minsheng also got a reduction, spokesmen from the two banks said. China Merchants Bank was also included, China International Capital Corp. analysts said.

    Bourse changes rules for new listing trading

    THE Shanghai Stock Exchange has tweaked trading rules for new listings ahead of an imminent resumption of listings, in a bid to close loopholes that artificially shorten the trading period on the first day.

    The trading of a new listing will no longer be suspended if it rises or falls more than 20 percent from its opening level, according to the bourse. Previously, a new listing would be halted from trading until a few minutes before the market closed on its debut day if it rose 20 percent or more from the opening level. With the stringent measures in place since late last year, many new listings favored by investors were suspended from trading for most the day as their shares hit the daily limits seconds after the opening bell, which raised complaints from market participants.

    Hubei Forbon to raise US$36.8m in IPO

    DOMESTIC fertilizer additives manufacturer Hubei Forbon Technology Co. plans to raise up to 229 million yuan (US$36.8 million) in an initial public offering (IPO) in Shenzhen, the company said yesterday.

    Hubei Forbon plans to offer up to 16 million shares to expand production and set up an engineering technology center, it said in a statement. The company is the last of 10 companies that received regulatory approval to conduct an IPO.

    Cinda, Huarong commit to Yida China IPO

    TWO of China’s biggest bad debt management companies committed a combined US$70 million to the Hong Kong offering of real estate developer Yida China Holdings Ltd.

    China Cinda Asset Management Co. and China Huarong Asset Management Co. will invest US$40 million and US$30 million respectively in the deal, which is set to raise US$172-US$217 million. Yida China is selling 580 million shares in an indicative price range of HK$2.30-2.90 (US$0.30-$0.37) each, representing 4.5 times to 5.7 times 2014 forecast earnings.