An employee from Chaoyang Long March Tyre Co Ltd (second left) addresses staff queries at the manufacturing plant of Service Long March Tyres in Pakistan. [Photo provided to chinadaily.com.cn]
A joint Sino-Pakistani tire manufacturer debuted on the Pakistan Stock Exchange, a move that market participants described as the first listing by a Chinese-invested company on the country's bourse and a milestone in the integration of industrial and financial cooperation between China and Pakistan.
Service Long March Tyres Ltd, a joint venture between Pakistan's Servis Group and China's Chaoyang Long March Tyre Co Ltd, was listed on the PSX on Monday. Chinese shareholders held about 43 percent of the company before the offering.
The initial public offering raised 7.77 billion Pakistani rupees ($27.9 million), making it the largest private-sector IPO in Pakistan's capital market history. The book-building process attracted bids worth 69.4 billion rupees, representing an oversubscription of 16.7 times and setting records for both subscription amount and subscription speed on the exchange.
The listing comes as capital market cooperation is increasingly complementing trade, infrastructure, and industrial links under the China-Pakistan economic corridor. Market observers said the transaction could provide a reference case for Chinese-invested enterprises seeking to tap into local financing channels in Belt and Road economies.
