Boqi seeks listing first on Tokyo main board

Beijing-based China Boqi Environmental Solutions Technology, which provides desulphurisation technology to power plants, planned to become the first foreign firm to list on the Tokyo Stock Exchange's main board, a company source said yesterday.

The company won the approval of the exchange on Wednesday for its initial public offering and expected to list on August 8, the source said without giving financial details such as a fund-raising target.

Mainland firms have been shying away from Japan's stock markets, due in part to the tougher requirements.

Asia Media was the first mainland firm to list on the Tokyo exchange in April, but that was on the Mothers Board for start-up firms. Xinhua Finance, which also listed on the Mothers Board, is based in Hong Kong.

Last year, 86 mainland companies listed overseas: 45 in Hong Kong, 26 in Singapore, nine in New York and six in London. However, Japan's stock exchanges are increasing their efforts to win listings from mainland companies.

Mainland game operator Nineyou is aiming to raise US$174 million from a listing on the Osaka Securities Exchange's start-up market on July 12. Other mainland firms that are reported to be eyeing listings in Japan include Kingsoft Software and Founder Group.

The source said Boqi wanted a Tokyo listing because it imported two core technologies from Japanese firms.

Formed in 2003, Boqi makes flue gas desulphurisation and de-nitration products to help coal-fired power plants reduce sulphur emissions.

Company data shows Boqi earned 2.01 billion yuan from contracts last year, with 132 million yuan in net income.