China Travel says to list $381 mln IPO on Thursday

SHANGHAI, Oct 14 - China International Travel Service Corp said on Wednesday it would list on the Shanghai Stock Exchange on Thursday after raising 2.6 billion yuan ($381 million) in an initial public offering last month.

Beijing-based China Travel, the country's top tourist agency, sold 220 million domestic A shares, equivalent to 25 percent of its expanded capital, at 11.78 yuan per share, attracting a hefty 618 billion yuan in subscription funds, mainly driven by typical strong Chinese investor interest in new offerings.

Although China Travel's IPO was modest in size, a steady stream of IPOs and other new share supplies have dampened sentiment on China's stock market, causing the main index <.SSEC> to fall 6 percent in the third quarter in its worst quarterly performance this year.

The market has now regained most of the ground it lost last quarter, rising 5.6 percent so far this month, buoyed by market-friendly government steps and signs of upbeat corporate earnings, though analysts say a full recovery may still take time. ($1=6.83 Yuan)