Welcome to capitalism, China.
The country will be the world's largest market for initial public offerings in the first half of 2015 thanks to a bullish capital market and favorable regulations that brought new listings to market.
A total of 241 companies have listed on China’s mainland stock exchanges already this year, raising over $40 billion, according to Ernst & Young’s Global IPO Trends report. China was top of the heap in both the number of deals and capital raised, followed by the U.S., which saw 101 IPOs raising $19.7 billion.
Both H-shares and A-shares participated this year, with the bulk going to the mainland exchanges in Shanghai and Shenzhen.
The mainland Chinese A-share market had 190 IPOs this year, up 265% from last year. Companies raised $23.7 billion, a 316% increase year on year.
Both Shenzhen and Shanghai exchanges ranked first and second in the world by number of IPOs, while the Shanghai and Hong Kong exchanges were the top two by amount of capital raised in the offerings, according to EY.
China banks raised the most funds at $15.9 billion, followed by industrials raising $5.1 billion and tech companies bringing in $3.7 billion.