(Yicai Global) Dec. 12 -- One of China's biggest real estate firms, Country Garden Holding Co. [HKG:2007], has withdrawn plans to list its property management subsidiary on the Shanghai Stock Exchange amid increased scrutiny of initial public offerings in the country.

The property giant still hopes to spin off the subsidiary onto other stock markets.

Country Garden Property Services updated its IPO prospectus on Dec. 5, noting its intention to raise CNY1.13 billion (USD170.7 million) by issuing 40.1 million shares in Shanghai, all of which would be used for community reconstruction, the building of service centers and market expansion programs.

The same day, another property management firm, Zhejiang Nacity Property Service Co., passed its IPO review and became the first such company to list on the A-share market. For this reason, the market expected the Country Garden subsidiary to also pass the review process.

The company isn't the first Hong Kong-listed company to withdraw from an IPO recently. Guangzhou R&F Properties Co. [HKG:2777] also suspended its listing plans on Oct. 20.