(Yicai) June 6 -- Jiangxi Copper has become the 10th Chinese company so far this year to scrap a unit’s spin-off listing because of stricter regulation and changed market conditions.

The Nanchang-based company will no longer proceed with its plan to separate out and float the subsidiary on Shanghai’s Nasdaq-like Star Market, it said on June 4.

Jiangxi Copper, one of China’s largest producers of the metal, joins Goertek, Wolong Electric Group, Zhengzhou Coal Mining Machinery, and six other companies in shelving plans to take units public this year, according to information provided by 10jqka.Com. 

China has been tightening its stock market listing rules since the second half of last year. Sixteen firms have pulled such listings destined for the Shanghai and Shenzhen markets since last August, according to 10jqka.Com data. Some of them, such as Wolong Electric and Livzon Pharmaceutical Group, opted to offer their units on the Beijing Stock Exchange instead.

Since 2019, 119 Chinese mainland-listed firms have planned to spin off and list 137 subsidiaries, per 10jqka.Com. Twenty-seven were successful, 40 were rejected, while the rest await regulatory approval. Most target the Star Market and are in the power equipment, electronics, mechanical equipment, pharmaceutical, biology, the internet, and transport sectors.

Editor: Futura Costaglione