China shares down on IPO worries, losses limited by energy stocks

lunes 21 de abril de 2014 00:49 GYT

* Fears new listings will dilute capital dent market confidence

* Energy transmission stocks up on govt spending plans

* Changjiang Securities up 6.1 pct after strong 2013 profits

By Natalie Thomas

BEIJING, April 21 (Reuters) - China shares drifted lower on Monday, hit by concerns about a potential share oversupply after the securities regulator released draft prospectuses for 28 new companies planning to list.

Overall losses were partly offset by energy stocks after Premier Li Keqiang announced major projects in the sector would be rolled out soon, focusing on energy transmission, and cleaner energy sources such as hydro-power.

By midday, the CSI300 index of the largest Shanghai and Shenzhen A-share listings was down 0.3 percent, while the Shanghai Composite Index was also off 0.3 percent at 2,092.1 points.

Energy transmission companies were some of the biggest gainers as the government announced it would start construction on ultra-high voltage power lines to transport power from western regions to the power-hungry east coast.

Shares in TBEA Co Ltd climbed 2.9 percent, while Henan Pinggao Electric Co Ltd gained 1.1 percent, and China XD Electric Co Ltd rose 1.3 percent.   Continuación...