Chinese Firms Set to Spice Up The IPO Arena
Chinese companies are likely to bring some fireworks to the IPO market this week.
Two companies leveraged to the wireless communications market in China plan to go public this week on the Nasdaq Stock Market, in what many analysts say could produce some of the biggest gains for new stock issues in several years.
Following December's $75.6 million initial public offering of online travel site Ctrip.com International Ltd. -- which became the first company to double its offering price intraday since October 2000 -- two China technology offerings are expected to also boast outsize gains. Linktone Ltd., a wireless-entertainment company based in Shanghai, plans to sell 6.06 million American depositary shares on Nasdaq at $10 to $12 a share through Credit Suisse Group's Credit Suisse First Boston. Also, TOM Online Inc., a Beijing Internet portal, will sell 11.25 million ADSs at $13.56 to $15.56 via Citigroup Inc. and Morgan Stanley.
The companies are in similar businesses, with both providing added services, like entertainment and news, through wireless phones. Yet investors are unlikely to make distinctions between the two, said Paul Bard, an analyst with IPO Plus Aftermarket Fund, a mutual fund in Greenwich, Conn.
"I think they're both going to do well," Mr. Bard said. "Where we are right now, demand is outstripping supply for these China deals."
There have been questions about governance issues. Linktone and TOM Online are actually incorporated in the Cayman Islands, not China, and the companies share a controversial governance structure: Holders of the ADSs in the companies don't necessarily get voting rights. Holders can ask the depositary of the ADSs to vote their shares in proxy matters, but only if Linktone or TOM Online ask the depositary to solicit a vote from the holders.
Still, China IPOs remain in fashion.
Much of the investor attention has focused on Linktone, which sells cellphone services like new ringtones, games, horoscopes and jokes. Linktone's services are distributed through the two largest wireless companies in China, China Mobile Communications Corp. and China United Telecommunications Corp. Linktone turned its first annual profit last year.
中国网络股将惊艳亮相那斯达克
中国公司有可能为那斯达克本周的首次公开募股(IPO)市场增添些许亮点。
两家从事无线通信业务的中国大陆公司计划本周在那斯达克股票市场公开上市。许多分析师称，两家公司的股价可能创下最近数年来新股发行的最大涨幅。
继旅游网站携程旅行网(Ctrip.com International) 2003年12月在那斯达克的IPO大获成功之后，市场预计，另外两家中国网络公司的股价同样会有惊人的涨幅。携程旅行网通过首次公开募股融资7,560万美元，首日上市当天，即成为首家自2000年10月以来股价较其发行价上涨一倍的公司。总部位于上海的无线娱乐公司灵通网(Linktone Ltd.)已计划通过瑞士信贷第一波士顿(Credit Suisse First Boston)以每股10-12美元的价格在那斯达克市场发行606万股美国存托股票(ADS)。此外，北京门户网站TOM Online Inc.也将通过花旗集团(Citigroup Inc.)和摩根士丹利(Morgan Stanley)发行1,125万股美国存托股票。
两家公司业务相似，均通过无线电话提供娱乐和新闻等增值服务。共同基金IPO Plus Aftermarket Fund分析师保罗?巴德(Paul Bard)表示，投资者目前尚无法对两家公司的业务作出区分。
巴德称，他认为这灵通网和TOM Online的新股发行均将获得成功。市场目前对中国网络公司的股票需求极为强劲，两家公司的股票发行正逢其时。
不过，投资者对两家公司的治理结构心存顾虑。灵通网和TOM Online都是在开曼群岛而非中国大陆注册成立的公司，并且双方的治理结构均引发了投资人士的争议：灵通网和TOM Online存托股票的持有人并不一定具有投票权。持有人可以要求存托股票受托行代表其进行投票，但前提是灵通网和TOM Online要求受托行向持有人提出投票请求。
尽管如此，中国企业的首次公开募股仍是市场热点。
绝大多数的投资者更加关注灵通网，该公司提供铃声、游戏、占卜和笑话等手机服务。灵通网通过中国移动通信集团(China Mobile Ltd)和中国联通(China United Telecommunications)从事上述业务。2003年，灵通网首次实现全年赢利。
