More than 20 companies are aggressively bidding to become the first batch listed on the soon-to-be-launched Growth Enterprise Market (GEM), according to market sources. They said the GEM aimed to launch a number of high-technology companies with multi-billion-dollar market capitalisations. Among these a number are said to be well advanced in preparing their listing applications. Some have already sent documentation to the stock exchange, while others would be submitted by the end of the month, sources said. The exchange opened for GEM application submissions two weeks ago after it officially announced the sponsors list. Among the biggest applicants is United States-based Kistler Aerospace, which makes reusable satellite delivery vehicles. It was among the earliest to submit its listing application to the stock exchange, the sources said. They said Kistler had also filed for a Nasdaq listing. The company declined to comment on its listing plans. Founded in 1993 by US businessman and aerospace technical expert Walter Kistler, Kistler Aerospace is the developer of the world's first fully reusable aerospace vehicle - Kistler K-1 - designed to deliver low orbit satellites cheaply. The company is chaired by Hong Kong businessman Robert Wang. In 1995, a fund-raising exercise saw 17 local businessmen become strategic shareholders in the company. Their stakes were not revealed. These include Cheung Kong (Holdings) chairman Li Ka-shing; New World Development chairman Cheng Yu-tung; Henderson Land Development chairman Lee Shau-kee; Shun Tak Holdings chairman Stanley Ho Hung-sun and former Hang Seng Bank honorary chairman Lee Quo-wei. That exercise saw Kistler raise US$50 million to finance the project. In March, US based Northrop Grumman committed to invest a further $60 million. Although the space vehicle had yet to complete a test launch, it had contracts in hand of $1.3 billion, according to an industry source. Another large-sized applicant is Taiwan-based Far Eastern - ranking in the world's top five polyester manufacturers. Its parent company is listed on the Taiwan stock exchange. Shanghai Industrial has also applied to the exchange to spin off its pharmaceutical arm for a GEM listing. Taiwan-based brokerage software company Qian Long Technology has also submitted a listing application. Sources said if these GEM applications progressed smoothly, the GEM board was expected to make its debut by mid-November. The GEM has a lower entry listing requirement, but tougher disclosure rules than the main board. It aims to facilitate fund-raising for hi-tech companies and small and medium-size enterprises. GEM
