Shanghai’s financial institutions have assisted companies to raise CNY24.6 billion (USD3.7 billion) via equity financing, including initial public offerings and refinancing, in the second quarter amid the city's economic recovery, Yicai Global learned.



Shanghai-based securities brokerages also offered asset allocation and bond financing to their clients. For instance, Guotai Junan Securities underwrote corporate bonds worth CNY34 billion in Shanghai between March and May.



Guotai also assisted Shanghai Jinqiao Group in issuing pandemic prevention-themed bonds worth CNY760 million (USD113.4 million), marking China’s first Covid-19 prevention and control-themed bond this year.



Shenwan Hongyuan Securities helped infrastructure construction service provider CCCC Shanghai Dredging to issue Covid-19 prevention-themed bonds worth CNY200 million. The notes became the first of their kind offered by a central enterprise this year.



In the first half, risk-managing units established by Shanghai-based futures firms served corporate clients via various financial tools nearly 2,000 times. The corresponding value of services was about CNY47.1 billion.



Fund managers guided more non-government capital to flow into core industries. On July 5, three fund management companies, namely Huatai-PineBridge Fund Management, Guotai Asset Management and Fullgoal Fund Management, gained approval to establish vaccine-themed exchange-traded funds, marking the first of their kind in China, tracking vaccine and biotech stocks.



Source: Yicai