Shares of Epoxy Base Electronic Material Corporation rose 136.11% during the company’s first day of trading on the Shanghai Stock Exchange, according to a May 18 article by MoneyDJ. Epoxy Base Electronic Material Corporation, Dr. Wong’s first company to be publicly listed, manufactures high performance, environmentally friendly, electronic grade epoxy resin on Mainland China.
Read the full article on Money DJ. (An English translation of the article has been provided below.)
Stocks of Epoxy Base Electronic Material Corporation Limited, a Mainland China Electronic and Chemical Material Supplier, Rises Sharply by 136% on the First Day of Trading
May 18, 2012
Reported by journalist Yu Meihui
Epoxy Base Electronic Material Corporation Limited (603002.SH), a Mainland China epoxy manufacturer, became a listed company on the Shanghai Stock Exchange, with an issuing price of 3.6 Yuan (RMB, the same below). In early trading, it opened and sharply rose by 122.5%. Within one hour of its opening, it rose past the 80% red line and its trading was temporarily suspended by the Shanghai Stock Exchange until 2:55 PM. Prior to the suspension, the stock price posted was 8.5 Yuan, an increase of 136.11%.
Epoxy Base Electronic Material Corporation Limited is one of the mainland China manufacturers of high performance, environmentally friendly, electronic grade epoxy resin. Its main products include liquid type, solid type, solvent type and fire retardant type epoxy resin. In 2011, its actual total capacity was 73,000 tons; its products were mainly applied in fields such as coding, electronic/electromechanics, composite materials and adhesives.
China Securities Network cited a study by Easton Securities and pointed out that high grade epoxy resin has a good adaptability and stability and cannot keep up with the domestic demand of Mainland China, which relies heavily on imports. In 2010, Mainland China imported about 309,600 tons of epoxy resin.
According to the statistics of China Epoxy Resin Industry Association, in 2010, Mainland China consumed about 800,000 tons of epoxy resin, accounting for about 40% of the total global consumption. It is expected that in the next five years, the demand by Mainland China for epoxy resin will have a compound growth rate of 10%. By 2015, the total consumption will reach about 1.3 million tons, accounting for more than 50% of the total global market consumption of epoxy.