Tokyo Metro's IPO could drive momentum in the Japanese market as Chinese listings dry up

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'We think they're offering very, very good value,' Mio Kato, founder of LightStream Research, told CNBC.

Tokyo Metro's initial public offering could drive momentum in the Japanese market and attract more companies into the country, analysts said, as China continues to lose steam.

In Japan's biggest initial public offering in six years, Tokyo Metro raised 348.6 billion yen after pricing its shares at 1,200 yen apiece, according to the company's regulatory filing on Tuesday.Tokyo Metro's initial public offering could drive momentum in the Japanese market and attract more companies into the country, analysts said, as China continues to lose steam.

"It's quite a big banner IPO for the year, and it's just something that everybody, you know, the entire public, is going to be focused on coming so close to the election," Kato added. "We think they're offering very, very good value."by Dealogic, a financial markets platform, shows that in September, equity capital market issuance in Asia-Pacific was worth just $168 billion, 15% below the first nine months of 2023 and 27% down from the same period in 2022.

 

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