Since 2026, 48 A-Share Convertible Bonds Raise RMB 57.3 Billion, Average First-Day Gain Exceeds 50%
Since the start of 2026, 48 convertible bonds have been issued on China's A-share market, raising a total of RMB 57.3 billion, based on issuer announcement dates through August 2. The number of new issues is sharply higher than the 20 and 24 issued in the same periods of 2024 and 2025, respectively. All 36 new bonds that have begun trading posted first-day gains, with none falling below par and an average gain exceeding 50%. Notable first-day performances include Baoti Convertible Bond (35.05%), Huafeng Convertible Bond (57.30%), Dingtong Convertible Bond (48.15%), Shengquan Convertible Bond (42.47%), and Zhaomin Convertible Bond (57.30%). The surge in issuance follows the 2026 refinancing rules that shortened review cycles for convertible bonds to about three months.
Since the beginning of 2026, the A-share convertible bond market has entered a period of intensive issuance. As of August 2, based on issuance announcement dates, 48 convertible bonds had been publicly issued year-to-date, raising a total of RMB 57.33 billion. The number of new issues is significantly higher than the 20 and 24 issued in the same periods of 2024 and 2025, respectively. By industry, the new convertible bonds are concentrated in computers, communications and other electronic equipment manufacturing, special equipment manufacturing, and chemical raw materials and chemical products manufacturing.
According to exchange website information, the cycle from acceptance to registration for several convertible bond cases has been shortened to about three months. Following the implementation of the 2026 refinancing rules, the review process and issuance efficiency for convertible bonds have improved. New convertible bonds are gradually filling the supply gap created by the concentrated conversion or maturity of existing convertible bonds. In terms of issuer structure, the number of convertible bonds issued by companies on the ChiNext board and the STAR Market has increased significantly; since 2026, issuers from these two boards account for more than half of total issuance.
Recently, the first-day trading of new convertible bonds on the A-share market has been active. Baoti Convertible Bond, Huafeng Convertible Bond, Dingtong Convertible Bond, Shengquan Convertible Bond, and Zhaomin Convertible Bond posted first-day gains of 35.05%, 57.30%, 48.15%, 42.47%, and 57.30%, respectively. Since the start of 2026, 36 new convertible bonds have begun trading, none have fallen below their issue price, and the average first-day gain has exceeded 50%, with 24 of them hitting the 57.3% upper limit on the first day.
The third quarter may see a wave of listings, followed by a natural decline in the fourth quarter as annual audit preparations begin. In terms of issuance structure, the share of companies from the STAR Market and specialized 'little giant' enterprises has increased. The supply expansion is affecting the pricing of new bonds, fund flows, and clause negotiations; new bond pricing is becoming more rational, and the intensive issuance is exerting a moderate capital diversion effect on the equity market, with subscription funds for convertible bonds primarily coming from fixed-income institutions.