zhongsheng

China Grand Automotive’s acquisition of Baoxin Auto has received a poor reception from investors. But consolidation in the sector is only getting started.

General Atlantic reduces its stake in Chinese auto retailer Zhongsheng for the third time since its IPO, while an existing shareholder sells $66 million of shares in Indonesian property developer Summarecon.

Investors like ZhengTong's growth story, but the deal still prices below the mid-point.

Man Wah trims its initial public offering to $212 million, while paper recycling company Fook Woo prices at the top to raise $185 million.

The Chinese car dealer decides to sell a smaller portion of its enlarged share capital at this time, believing that the stock will command a higher valuation in the long term, sources say.

Bankers blame the current market conditions for Zhongsheng's decision to postpone the deal, but analysts say lofty price expectations by the issuer also played a role.

IPOs are expected to continue despite the bumpy markets, but analysts say listing candidates will need to either reduce their target sizes or offer discounted prices.