Growth Enterprise Market (GEM) candidate Beijing Beida Jade Bird Universal Sci-Tech has had a mild reception to its share offer after a 41 per cent price cut, while fellow candidate FlexSystems has set the offer price of its shares at the low end of its target range. In the expectation of at least 30 listing candidates coming to market soon, investors have become increasingly selective about GEM candidates, prompting some to lower prices or defer listings. Listing sponsor Tai Fook Capital executive director Derek Chan said Jade Bird's offer was 'a few times' subscribed but would not give a figure, saying the offer's close was not until next Tuesday. Jade Bird's listing was put back a week due to disagreement between the company and Tai Fook on the issue price. The company is the first H share to be listed on GEM. The Peking University-backed software developer and integrated circuit designer is to raise HK$264 million at HK$11 each, a far cry from the original target of up to HK$475.2 million at HK$17.80 to HK$19.80 each. Vice-president Zhang Wanzhong said the price cut was in line with the correction of the market. 'In light of market conditions, we have already lowered the offer price proactively,' he said. 'We don't want our shares to perform badly when trading starts.' According to Mr Zhang, when the company started its listing process back in January, it was valued at about HK$1.7 billion by its financial advisers. At an offer price of HK$11, the company will have a market capitalisation of HK$1.03 billion when trading starts on July 27. It recorded a net loss of 4.48 million yuan (about HK$4.19 million) for the year to December 31, compared with a loss of 4.8 million yuan in 1998. Turnover grew 244.7 per cent to 10.41 million yuan. Mr Zhang said rapidly growing research and development in the company's start-up stage had caused the losses. But he said judging from outstanding orders of 26 million yuan at the end of April, he was confident the firm would see an improvement in its financial results. Executive director Chen Zhong said the lesser funds raised should not have a substantial impact on the company's expansion plans. 'We originally planned to build a factory with the listing proceeds but as we can rent premises to achieve the same purpose, it won't have a significant effect,' he said. Meanwhile, software developer FlexSystem has set the price of its new shares offered to institutional investors at HK$1.23, the bottom of its target range of HK$1.23 to HK$1.33. It plans to sell 120 million shares. A spokesman at listing sponsor Vickers Ballas said the move was to ensure a better share performance when dealing starts. Meanwhile, Wins Mobile Data is to delay its listing and wait for better market conditions.