SHARES of China Railway Construction, which built the world’s highest railway, made a weaker-than-expected debut in Shanghai yesterday amid slumping equity markets, despite raising a combined US$5.4 billion in Shanghai and Hong Kong in the world’s largest IPO this year.

The stock ended at 11.64 yuan, up 28 percent from its IPO price but well below analysts’ forecasts for a debut around 13 yuan.

While its Shanghai debut performance would ordinarily be healthy by international standards, it lagged a 69 percent jump on the first day of trading by its bigger rival, China Railway Group, in early December.

The lackluster listing will hurt new share offers in China as it indicates a bearish turn in market conditions, which have been hit in part by huge corporate fund-raising programs, including an US$18 billion stock and bond offer planned by Ping An Insurance (Group) Co.

(SD-Agencies)