(MENAFN) Ernst & Young (E&Y) stated that the number of initial public offerings (IPOs) that will be placed in Hong Kong next year will exceed 80 from 60 in 2012, reported Xinhua News.
The accounting company attributed the increase to the expected global economic recovery and the Chinese government's supportive policies that will be effective in 2013.
It added that total funds projected to be raised from these IPOs will reach around USD16.8 billion, up from USD13.28 billion in 2012.
E&Y said that more small and medium sized Chinese enterprises will complete their IPOs in Hong Kong by the issue of H-Shares in a number of sectors, mainly real estate companies.
Furthermore, IPO activities for A-Shares will grow in 2013 due to the introduction of new government policies within a short period of time in next year's second quarter that will boost IPO activities for firms benefiting from the measures.
It is worth noting that at the current time, more than 800 IPO applicants are on the China Security Regulatory Commission's list, expected to raise almost USD79.46 billion, from USD16.37 billion raised by A-Shares IPOs in the current year.