China's first batch of infrastructure real estate investment trusts (REITs) began trading Monday, with five on the Shanghai Stock Exchange and four on the Shenzhen Stock Exchange.
The price change limit is 30 percent on the first day of listing and 10 percent after that.
The nine infrastructure REITs are expected to channel investment into projects such as highways, industrial parks, storage and logistics, and sewage treatment.
In April 2020, China initiated a pilot scheme for infrastructure REITs. In mid-May this year, the securities authority approved the registration of the country's first batch of nine REITs and, on May 31, China kicked off sales of the REITs.
Infrastructure REITs can generate new capital to help fund the sector's expansion and provide companies with additional liquidity and deleveraging opportunities, according to a recent report from Moody's Investors Service.
Infrastructure REITs allow companies to monetize their infrastructure assets and apply sale proceeds to future finance projects or debt reduction. The assets' operating records and ability to generate positive cash flows will also reduce risks for investors, the report noted.
- China to raise reserve requirement for forward forex trading to 20 pct
- China remains ASEAN’s largest trading partner
- Track-laying completed on China’s first sea-crossing high-speed railway
- U.S. first lady tests positive for COVID-19
- Peng Liyuan meets with Indonesian first lady
- ETF trading under mainland-Hong Kong stock connect kicks off
Popular Videos
Hot comments
- First apes at U.S. zoo receive COVID-19 vaccine made for animals, zoo official says
- China Life: Chinese women shine with She Power
- Foreign firms approved to offer VPN services in capital
- Homemade curling videos trending in China
- 86-year-old grandma in Hebei spends most her life on traditional cheongsam
- Winners of 2022 Inaugural WLA Prize announced
- Lantern Festival: A romantic celebration in China
- Two Chinese COVID-19 vaccine firms to supply vaccines to COVAX
- Media center for 20th CPC national congress to open on Oct. 12
- Six suspects arrested in HK for role in SE Asia job scam
Top Reviews
- Young artists recreate beauty of traditional Hanfu costume
- China releases photos of tallest tree
- English version of ‘Understanding Xi Jinping’s Educational Philosophy’ published
- China crowned in men’s team for 10th straight time at table tennis worlds
- China publishes Atlas of Wildlife in SW China
- Guangxi’s 10 Years: A Visit to China’s Qinzhou Port
- Congress delegate helped lift village out of poverty
- Expo highlights joint efforts in NEV development
- Racism stain of shame on ‘world democratic paradise’
- U.S. may face new COVID wave this upcoming winter: report