State-owned shipbuilder plans IPO

China Shipbuilding Industry Corp (CSIC), one of the nation's leading shipbuilding groups, will seek an initial public offering (IPO) in 2007, according to sources close to the State-owned Assets Supervision and Administration Commission (SASAC).

Headquartered in Beijing, CSIC is reportedly planning a new issue of around 1.6 billion A shares to raise between 6 and 7 billion yuan, the sources said.

CSIC is undertaking a major restructuring effort to merge its 16 subsidiaries in August to form a more integrated company, to be called China Shipbuilding Industry Co Ltd, before it applies for an IPO on the Shanghai Stock Exchange in December, said the source.