Yangzijiang Shipbuilding (Holdings) Ltd., the first Chinese company to list on the Taiwan Stock Exchange, enjoyed a 7% gain after 11 minutes of trading, reports the Wall Street Journal. This is good news for other mainland companies such as China Taisan Technology Group Holdings Ltd. and Hu An Cable Holdings Ltd. who plan to list Taiwan depository receipts (TDRs) on the island.
According to the Journal, the shipbuilder raised 4.5 billion New Taiwan dollars (US$140.6 million) from the sale of 240 million Taiwan depository receipts (TDRs), representing 120 million of its shares. Yangzijiang's TDRs hit NT$20.10 after 11 minutes of trading, compared with an offering price of NT$18.80.
Mainland China-registered companies are prohibited to list on the Taiwan Stock Exchange, notes the Journal. But companies that are registered elsewhere—like Singapore or Hong Kong—can do so. Yangzijiang is registered and listed in Singapore.
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