Money

More non-tradable shares to be unlocked in China

(Xinhua)
Updated: 2011-06-27 09:53

BEIJING -- About 1.67 billion non-tradable A-shares of 27 listed companies will be unlocked this week and become available for trading starting Monday, according to the Shanghai and Shenzhen stock exchanges.

The market value of the unlocked shares stood at 23.23 billion yuan ($3.6 billion) on Friday.

The volume of unlocked shares has dropped 15.54 percent from last week, while the market value of those unlocked shares dropped 28.73 percent week-on-week.

The release of those shares will not greatly worsen the already tight liquidity situation in the market since their volume and capitalization is relatively low, said Zhang Gang, chief strategic analyst for Southwest Securities.

The relatively low market value of unlocked shares means less liquidity pressure on the secondary stock market this week, he said.