TWO more companies have received approval to list on the Shanghai stock exchange. Shandong Agricultural Chemical (SAC) will float 49.5 million shares on Wednesday, followed by Yunnan Baoshan Cement (YBC), with 18 million shares on Friday. Both companies originally issued shares a few years ago. When the shares were issued in the early 1990s, SAC sold its shares at 1.60 yuan each (about HK$1.50), and YBC at one yuan each. Analysts said the two sets of shares were trading well above 10 yuan in the grey market. However, it was difficult to predict how they would fare on their debut next week. Last month, three similar sets of shares failed to shine on their debut, breaking the hold over investors that newcomers to the exchange had. Fears about their earnings saw investors dumping shares in the three companies - Wuhan Cable Group, Sichuan Electrical Apparatus and Jilin Yatai - after a brief strong opening two weeks ago. All new shares, except these three, had made dazzling entrances to the Shangahi exchange this year. An analyst with a stock brokerage said: 'The love affair with new shares may be over. 'So there is no guarantee that the two latest shares will do well on their first day.' Little is known about the two companies. 'We'll have to wait until they release their prospectuses next week for more details about the companies,' another analyst said. SAC and YBC will bring to seven the number of companies which took several years to receive the go-ahead to list on the Shanghai exchange. In October, China Jialing Industrial and Dalian Beida Auto Workshop became the first of about 100 shareholding companies, which had issued shares without proper authorisation, to be listed. These companies offered shares to the public between 1988 and 1992, when securities regulatory bodies were not fully in place. So far, only 20 of the 100 companies have received approval to join the Shanghai exchange. Analysts said the remaining 80 would be forced to wait until market conditions picked up before they could formally win approval to join the exchange. The analysts estimated it would take about three years for all to be listed. Add these to new companies vying for a share of the 5.5 billion A-share quota approved this year by the China Securities Regulatory Commission and the Shanghai exchange would easily have about 350 listed companies by 1997. There are now 218 companies on the Shanghai exchange - 182 A shares reserved for domestic investors and 36 B shares for foreign investors. Together, they have issued 9.3 billion shares, 150 times the figure issued in 1990. In 1991, the Shanghai exchange had only eight listed companies. This rose to 38 by the end of 1992, to 122 by 1993, and to about 200 last year.