SOE share prices to 'bounce back'

The share prices of China's giant State-owned enterprises in the steel, coal and power sectors are expected to rebound this year as the country recombines resources to create more Fortune Global 500 companies to compete with foreign rivals, an expert said on Monday.

The opportunity came after the State-owned Assets Supervision and Administration Commission said last week that the SOE reform will no longer focus only on cutting the number of groups or their subsidiaries. Industrial upgrading, global market diversification and resources optimization are main themes for the reform this year.

Listed companies such as Hunan Valin Steel Co, Jizhong Energy Group Co, Beijing-based Huaneng Power International Inc, Shanghai Electric Power Co and another 10 companies from these three industries have all announced they have been involved in assets reorganization since 2016.