Shenzhen bourse to rival Shanghai by wooing blue-chip IPOs

Shanghai

THE Shenzhen Stock Exchange, home to China's smaller listed companies, said it aims to resume initial public offerings (IPOs) by blue-chip firms in 2016 after a 12-year gap, potentially heating up competition with its bigger rival in Shanghai.

Under the current arrangements by the Chinese government, the Shanghai Stock Exchange is the bourse for blue chips, while the Shenzhen exchange is positioned as the marketplace for mainly smaller firms and startups, having halted large-cap listings since 2004 to avoid direct competition with Shanghai.