Datang, Huaneng plan to spin off renewable arm (Adds details and background)
Shares of Xinjiang Goldwind Science & Technology Co Ltd (2208.HK), the country's second-largest wind turbine maker, rose as much as 6.6 percent on Friday as investors bet on strong demand for the alternative energy sector.
The strong listing bodes well for upcoming renewable energy initial public offerings, including that of China Huaneng Group Corp and Datang Corp, the country's top power producers, which aim to raise more than $2 billion by floating their renewable energy units in Hong Kong.
Shenzhen-listed Goldwind (002202.SZ), the world's No.5 wind turbine maker, rose as high as HK$19.16 by 0221 GMT, compared with its IPO price of HK$17.98. The offering was priced at the top of its indicative range.
Goldwind's strong debut contrasts with a disappointing start by competitor China Ming Yang Wind Power Group Ltd (MY.N), which dropped 5.4 percent on the New York Stock Exchange last week. [ID:nN01111576].
Goldwind, which originally planned to raise up to $1.2 billion, shelved its IPO plan in June citing poor market conditions.
A wave of IPOs have been launched in Hong Kong over the past few weeks, with issuers riding strong gains in equity markets. Hong Kong's Hang Seng Index .HSI rose 11 percent in the third quarter, driven largely by robust foreign fund inflows.
More than 20 companies have hit the market to raise funds in September and October, including AIA Group Ltd's huge offer.
