Underwriter Glut Builds On IPO Slowdown

(Hong Kong) – The number of investment banks underwriting a company's initial public offering in China has apparently grown so large that some experts worry the trend has fueled unhealthy competition.

One of the most telling recent examples involves the planned IPO by Galaxy Securities on the Hong Kong bourse. The brokerage company intends to raise up to US$ 1.5 billion from the listing, the road show for which began April 22.