Taiwan’s initial public offering (IPO) activity might slow this year compared with last year, as the number of IPOs as of the end of last month was 31, down 36 percent from the 49 registered in the same period last year, the Chinese-language Liberty Times (the Taipei Times’ sister newspaper) reported yesterday, quoting unnamed Financial Supervisory Commission (FSC) officials.
Compared with the whole of last year, this year’s IPOs might also reach a new 11-year low, the commission said, attributing the disappointing performance to fluctuations caused by international political and economic situations that have also negatively influenced new listings through IPOs in other countries, the Liberty Times reported.
Citing World Federation of Exchanges statistics, the commission said that the number of global IPOs declined 35.2 percent in the first half of this year compared with the same period last year, with declines reported across all regions.
Asia-Pacific was down 32.7 percent; North America was down 22.3 percent; and Europe, the Middle East and Africa were down 55.4 percent, it said.
In Taiwan, including the nine firms that have applied to be listed on the Taiwan Stock Exchange or the Taipei Exchange, there might be just 40 IPOs this year, the commission said, adding that the number would be the lowest since 2009 and lower than last year’s 62.
“There is still some time before the end of the year and we will continue to work hard, but we will not solely focus on raising the IPO number without paying attention to the quality of the listing firms,” commission officials were quoted by the Liberty Times as saying.
Looking ahead, the commission said that it would continue to create a friendly capital market environment, with the aim of attracting “large companies” or “quality enterprises” to list in Taiwan, while enhancing the international competitiveness of the nation’s capital market, the Liberty Times said.
FSC Chairman Wellington Koo (顧立雄) and other commission officials are to brief a meeting of the legislature’s Finance Committee today on this year’s IPO activity, and report on the progress of two new equity trading mechanisms that are to be implemented next year.
The commission said earlier that the Taiwan Stock Exchange is slated to launch a new continuous trading mechanism on March 23, allowing buy and sell orders to be executed by traders without a lag.
Local brokerages would also be allowed to handle odd-lot intraday trading for clients from the second half of next year, making big-ticket stocks affordable to individual investors, the commission said.
Alibaba Group Holding Ltd (阿里巴巴) founder Jack Ma (馬雲) has been living in Tokyo for almost six months after disappearing from public view following China’s crackdown on the tech sector, the Financial Times reported yesterday, citing multiple unnamed sources. The billionaire has kept a low profile since the crackdown, which has included Chinese regulators scrapping the initial public offering of Ma’s Ant Group Co (螞蟻集團) and issuing Alibaba with record fines. However, the Times said he has spent much of the past six months with his family in Tokyo and other parts of Japan, along with visits to the US and Israel. The
FACTORY TUMULT: The departure of new workers impact production less than the quarantines imposed on existing employees, a worker at China’s ‘iPhone city’ said Turmoil at Apple Inc’s key manufacturing hub in Zhengzhou is likely to result in a production shortfall of almost 6 million iPhone Pro units this year, a person familiar with assembly operations said. The situation remains fluid at the plant and the estimate of lost production could change, the person said, asking not to be named discussing private information. Much depends on how quickly Hon Hai Precision Industry Co (鴻海精密), the Taiwanese company that operates the facility, can get people back to assembly lines after violent protests against COVID-19 restrictions. If lockdowns continue in the weeks ahead, production could be set further
HOLIDAY SEASON OMEN: Low-cost brands and high-end retailers had the most foot traffic, leaving mid-range stores struggling on what used to be their biggest sales day US retailers discounted heavily on Black Friday to clear out bloated inventories, but customers responded with only modest traffic, leaving profitability in doubt for many chains. Brick-and-mortar retailers, which were hit hard by COVID-19 closures and shoppers seeking to avoid the virus, saw in-store traffic on Friday tick up 2.9 percent from last year’s shopping event, data compiled by Sensormatic Solutions showed. US consumers are still spending, but they are growing more cautious after contending this year with the highest inflation rates in four decades. They are also keeping a sharper lookout for deals, and retailers — many of them still heavy
‘REVOLUTION’: Elon Musk complained over a 30 percent fee Apple collects on Apple Store transactions and said the technology company has stopped advertising on Twitter Twitter Inc owner Elon Musk on Monday opened fire against Apple Inc over its tight control of what is allowed on the App Store, saying the iPhone maker has threatened to oust his recently acquired social media platform. Musk also joined the chorus crying foul over a 30 percent fee Apple collects on transactions via its App Store — the sole gateway for applications to get onto its billion-plus mobile devices. A series of Twitter posts fired off by Musk included a meme of a car with his first name on it veering onto a highway off-ramp labeled “Go to War,” instead