EXPERTS SUGGEST CHINESE FIRMS CAREFUL IN LAUNCHING OVERSEAS IPO

AsiaInfo Services, September, 2005

AsiaInfo Services 09-30-2005 Experts Suggest Chinese Firms Careful in Launching Overseas IPO CHINA, Sep 30, 2005 (SinoCast via COMTEX) -- Experts of several global investment banks warn that Chinese firms have to be careful in launching overseas IPO. Since several Chinese high-technology firms, such as Focus Media (NASDAQ: FMCN) and Baidu.com (NASDAQ: BIDU), have successfully listed overseas and raised large quantity of funds, other enterprises are eager to follow suit. An executive director of Morgan Stanley believes that enterprises can launch overseas IPO only if they have enough assets to afford the high costs of at least USD 1 million excluding fees paid to underwriters.

Otherwise, they may not be able to solve problems involving laws or finance after...

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