Chinese mainland IPOs gain momentum this year

Initial public offerings by Chinese mainland enterprises have gained traction this year, with manufacturers leading the number of deals while Internet companies taking the majority of proceeds.

A total of 224 mainland companies went public between January and November this year, outpacing the total number of 110 in 2013, according to figures released today by research and consulting institute ChinaVenture Group.

IPO proceeds reached 340.78 billion yuan (US$55.6 billion), a surge of 159 percent from the same period last year, data showed.

Among them, 104 were listed on Chinese mainland's stock bourses and raised 59.1 billion yuan after the securities regulator here lifted a 14-month suspension on new share offerings.

During the period, 92 mainland firms went public on Hong Kong stock exchange, raising 105 billion yuan, a 14.6 percent decline year on year. Fourteen companies got listed in the US market and collected 174.7 billion yuan in IPO proceeds.

By sectors, manufacturing industry topped with 58 IPOs, following by 22 in the IT sector and 18 in the energy and mineral sector.

Internet firms accounted for 51 percent of the total IPO proceeds thanks to the largest ever deal completed by Alibaba Group, according to the figures.

The IPO rebound helped to boost the return of venture capital and private equity funds. In the first eleven months this year, there were 174 VC/PE exits, which cashed in 590.5 billion yuan in funds. The average investment return from the exits was 8.6 times, a 185 percent growth from the same period last year.