Decision to slow IPOs designed to boost secondary markets
Bond markets difficult and expensive for China companies
IPOs had been bright spot in financial system
China companies39; fund raising options limited

SHANGHAIHONG KONG, Aug 29 Reuters China39;s surprise move to slow the pace of mainland initial public offerings IPOs in an attempt to bolster the secondary market will cloud the fundraising plans of hundreds of companies and will weigh on the economy, bankers and lawyers said.

The regulatory decision was part of a package of measures unveiled by Beijing over the weekend to revive a lagging stock market and boost investor confidence in the world39;s secondlargest economy, which is fast losing its growth momentum.

New share sales on the mainland had been one of the few bright spots in the Chinese financial sector this year, as geopolitical tensions and tightened regulatory curbs prompted domestic IPOaspirants to choose home bourses over offshore stock exchanges.

There has been 39.7 billion worth of IPOs so far this year, Dealogic data showed, down from 68.2 billion at the same time last year, but more than double the 13.1billion raised in the United States.

The decision to slow IPOs comes as bond markets are difficult and expensive to tap for Chinese private companies due to the spillover effect of a deepening property sector debt crisis.

This, coupled with diminishing appetite for China investments by private equity firms, will leave fewer avenues for…