CHINA’S securities regulator said Friday that 10 companies have completed preparations for initial public offerings (IPOs) as a five-month freeze on new share sales ends.

    The China Securities Regulatory Commission (CSRC) has restarted IPOs for five companies to list on the Shanghai Stock Exchange and five in Shenzhen, according to a statement on its official microblog.

    The regulator said these companies and their underwriters would consult with the stock exchanges to determine the listing dates.

    The 10 companies had already received approval before IPOs were halted in July to prop up the stock market amid a US$5 trillion rout.

    The resumption shows authorities are becoming more confident the stock market can stand on its own after the Shanghai Composite Index rallied back into a bull market. The move will also help Chinese companies tap into an important source of financing as they seek to cut debt levels from near record highs.

    On Nov. 9, the CSRC announced the resumption of IPOs. Under new rules, investors will no longer be required to deposit funds when applying for new share subscriptions. The change will reduce the amount of cash that bidders need for IPOs, which may allay concern the resumption will lure funds from existing shares.

    The rally in China follows an unprecedented State campaign to prop up share prices, along with increased monetary stimulus to combat an economic slowdown.

    The official support has helped revive confidence among investors, spurring a pick-up in trading activity and lifting the Shanghai Composite Index 24 percent above its Aug. 26 low Friday. (SD-Agencies)