China’s flagship nuclear power operator has outlined plans to raise up to $2.6bn in an initial public offering, as part of a larger drive by state-owned companies to diversify funding sources from the banking system.
China National Nuclear Power, a unit of China National Nuclear Corporation, or CNNC, plans to list 25 per cent of its shares on the Shanghai Stock Exchange, in what will be the largest domestic listing since mid-2010. The proceeds will be used to fund construction of four nuclear plants, the company said.
The proposed IPO comes a few months after Shanghai ended a ban on new listings, and has a long pipeline of companies waiting to list. Guotai Junan Securities, one of the country’s largest brokerages has also applied to list in Shanghai, and plans to raise up to Rmb22bn ($3.5bn).