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Investors snap up IPO shares in anticipation of mainland China deals
Thursday 19 Jan 2017 Author: William Cain

A craze in Hong Kong for initial public offerings (IPOs) saw shares in newly-listed Bar Pacific (8432:HKG) climb 1,600% at one point on its stock market debut.

Bar Pacific raised HK$45m (£4.8m) through the IPO and its market value gained HK416m by the end of the day, up 1,297% at the close.

Ten similar IPOs in the last two years gained between 1,500% and 2,243% on their first day of trading, according to Dealogic.

Investors have been piling in to the stocks in anticipation of reverse mergers involving companies in mainland China.

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